SAI KRIPA SANSTHAN,NAGPUR V. CIT EXEMPTION, PUNE

ITA 65/NAG/2025

AI Insights

The case involves two separate appeals by Sai Kripa Sansthan and Shri Radhakrishna Bhakt Parivar Charitable Trust against the orders of the Commissioner of Income Tax (Exemption), Pune, which rejected their applications for registration under section 12AB of the Income Tax Act, 1961. The primary issue was the lack of detailed information on the trusts' activities, which was required for the registration process. The trusts argued that they were unable to provide complete audited accounts at the time of the initial application due to ongoing audits. The Tribunal decided to allow the appeals, restoring the matter to the CIT (Exemption) to give the trusts another opportunity to provide the necessary documentation.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 844878 (ITAT-NAGPUR)
• Duration Of Justice: 1 year(s) 1 month(s) 11 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 16-03-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: misc
• Appeal Filed On: 04-02-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: PANKAJ KUMAR
• Assessee Lawyers: HIMESH DEMBLE
• Keywords: Additional evidence; Charitable institution

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL “NAGPUR” BENCH, NAGPUR BEFORE SHRI PAWAN SINGH, JUDICIAL MEMBER & SHRI KHETTRA MOHAN ROY, ACCOUNTANT MEMBER ITA No. 65/NAG/2025 (A.Y.: NA) (Physical hearing) Sai Kripa Sansthan 303, CA Road, Mahatma Fule Bazar, Nagpur – 440018. PAN: AASTS0352B Vs CIT (Exemption), Pune Room No. 322, 3rd Floor, Income Tax Office, PMT Building, Shankar Sheth Road, Pune – 411037. Appellant /Assessee Respondent /Revenue ITA No. 66/NAG/2025 (A.Y.: NA) Shri Radhakrishna Bhakt Parivar Charitable Trust Dayanant Park Road, Jaripatka, Nagpur – 440 014. PAN: AANTS4695Q Vs CIT (Exemption), Pune Room No. 322, 3rd Floor, Income Tax Office, PMT Building, Shankar Sheth Road, Pune – 411037. Appellant /Assessee Respondent /Revenue Assessee by Shri Himesh Demble, CA Revenue by Shri Pankaj Kumar, CIT DR Date of hearing 20.02.2026 Date of pronouncement 16.03.2026 Order under section 254(1) of Income Tax Act PER PAWAN SINGH, JUDICIAL MEMBER: 1. These two appeals by different assessee(s) are directed against the separate orders of ld. Commissioner of Income Tax (Exemption), Pune [for short “CIT(E)”], both dated 18.12.2024. In both the appeals, the assessee has raised similar grounds of appeal against the rejection of application for registration of trust under section 12AB of the Income Tax Act, 1961 (the Act). Certain facts in both the appeals are similar, both the assessee has Printed from counselvise.com ITA No.65 & 66/Nag/2025 Sai Kripa Sansthan& Anr. 2 raised similar grounds of appeal, thus, with the consent of both the parties, both the appeals were clubbed together and are decided by common order. For appreciation of facts, the appeal in ITA No 65/Nag/2025 is treated as lead case. ITA No 65/Nag/2025 2. Rival submissions of both the parties have been heard and record perused. The ld. Authorised Representative (AR) of the assessee submits that the assessee is a charitable trust, applied for registration u/s. 12AB of the Act. The ld. CIT(E) issued notice for seeking various details pertaining to object and activities of the trust. The assessee furnished certain details, however, at the relevant point of time, the accounts of assessee were under audit and the audit process was not concluded. Owing such situation, the assessee was unable to furnish complete set of audited accounts. Now, the assessee has filed an application before this Tribunal for admission of additional evidence with the prayer to accept such additional evidence, which is in the form of audited accounts of assessee for last two years. Since the application of assessee was rejected for the want of details on activities, therefore, matter may be restored back to the file of ld. CIT(E) with the liberty to assessee to furnish all requisite details to prove its object and activities to enabling registration under section 12AB. He undertakes on behalf of assessee to furnish all such details as early as possible. 3. On the other hand, ld. Commissioner of Income tax-departmental representative (CIT DR) for revenue submits that assessee was allowed sufficient opportunity by ld. CIT(E). No notes on activities or evidence in Printed from counselvise.com ITA No.65 & 66/Nag/2025 Sai Kripa Sansthan& Anr. 3 support of activities were furnished by assessee. If the bench is of the view that assessee has shown sufficient ground for admissions of additional evidence, the matter may be restored back to the file of ld. CIT(E) to consider such evidence and to pass order in accordance with law. 4. We have considered the rival submissions of both the parties and have seen the order of ld. CIT(E). On perusal of impugned order passed by ld. CIT(E), we find that in para 6.1 of his order he noted that assessee has reproduced its object in the notes of activities as Annexure-1. The assessee has not furnished details on activities which were called for in his initial notice. The assessee failed to give details of notes on activities; like date and place of activities and the details of beneficiaries and that how the beneficiaries were identified. On the basis of such observation the application of assessee for registration of trust under section 12AB was rejected. Considering the fact that object of assessee were not disputed by ld. CIT(E), the assessee before us, undertook to furnish complete details on activities, therefore, in our view, the assessee deserves one more opportunity to furnish necessary evidence on its activities. Hence, the matter is restored back to the file of ld. CIT(E) to reconsider the matter and pass the order in accordance with law. In the result, the grounds of appeal raised by the assessee are allowed. 5. In the result, the appeal of the assessee in ITA No. 65/Nag/2025 is allowed for statistical purpose. ITA No. 66/Nag/2025 6. We find that the facts in these appeals are similar; the assessee has raised similar grounds of appeal. Thus, considering the facts, we have restored Printed from counselvise.com ITA No.65 & 66/Nag/2025 Sai Kripa Sansthan& Anr. 4 similar appeal in ITA No. 65/Nag/2025 to the file of ld CIT(E), hence, these appeals are restored back with similar directions. In the result, this appeal is also allowed for statistical purposes. 7. In result, both the appeals of assessee are allowed for statistical purposes. Order was pronounced on 16.03.2026 as per Rule 34 of the Income Tax (Appellate Tribunal) Rules, 1963. Sd/- KHETTRA MOHAN ROY ACCOUNTANT MEMBER Sd/- PAWAN SINGH JUDICIAL MEMBER Mumbai, Dated: 16/03/2026 Karishma J. Pawar, SR. PS Copy of the order forwarded to: (1) The Assessee; (2) The Revenue; (3) The PCIT / CIT (Judicial); (4) The DR, ITAT, Nagpur; and (5) Guard file. By Order Assistant Registrar/Senior Private Secretary ITAT, Nagpur Printed from counselvise.com "