SANKALP VOLUNTARY SOCIAL ORGANISATION NAGPUR,NAGPUR V. INCOME TAX OFFICER WARD 1 (EXEMPTION) NAGPUR , NAGPUR

ITA 553/NAG/2024

AI Insights

The case involves Sankalp Voluntary Social Organisation appealing against the decision of the Commissioner of Income Tax (Exemption), Pune, which denied the final registration under section 80G of the Income Tax Act. The denial was based on a technical error in the application process, where the organisation applied under the wrong sub-clause of the proviso to section 80G. The Tribunal found that such a technical mistake should not lead to the rejection of the application without considering the merits of the case, referencing section 292B of the Income Tax Act, which allows for mistakes that do not affect the substance and effect of the action to be overlooked.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 24361 (ITAT-NAGPUR)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 21-03-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: 2024-2025
• Laws Referred To: Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: SANDIPKUMAR SALUNKE
• Assessee Lawyers: A.G. PIMPARKHEDE
• Keywords: Set aside
• Section: 80G

Judgement Text

" IN THE INCOME TAX APPELLATE TRIBUNAL NAGPUR BENCH, NAGPUR BEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER AND SHRI K.M. ROY, ACCOUNTANT, MEMBER ITA no.553/Nag./2024 (Assessment Year : N.A.) Sankalp Voluntary Social Organisation Dr. Ambedkar Marg, Nagpur 440 017 PAN – AAZTS7991R ……………. Appellant v/s Income Tax Officer Ward–1, Exemption, Nagpur ……………. Respondent Assessee by : Shri A.G. Pimparkhede Revenue by : Shri Sandipkumar Salunke Date of Hearing – 03/03/2025 Date of Order – 21/03/2025 O R D E R PER K.M. ROY, A.M. Instant appeal by the assessee is against the impugned order dated 17/08/2024, passed by the learned Commissioner of Income Tax (Exemption), Pune, [“learned CIT(E)”]. 2. The assessee has raised following grounds:– “1. On the facts and circumstances of the law, the CIT (Exemption), Pune is refusing the exemption and registration of the trust u/s 80G. 2. The Hon'ble CIT (exemption) rejected the application for final registration u/s 80G only on the technical grounds that the application for provisional registration made by assessee under different sub-cause of the proviso to sec 80G without verification charitable activities and genuiness of the activities of trust. 3. Any other ground of appeal to be raised at the time of hearing with prior approval of the Hon'ble Authority. 2 Sankalp Voluntary Social Organisation ITA no.553/Nag./2024 3. The learned CIT(A) rejected the registration only on the ground that the assesse applied for provisional registration under Sub-clause (A) of clause (iv) of first proviso to sub-section (5) of section 80G of Income tax which should be Sub-clause (B) of clause (iv) of first proviso to sub-section (5) of section 80G to the interpretation of rejection order passed by the learned CIT. 4. Before us, the learned Authorised Representative for the assessee pleaded that the technical error in uploading is inadvertent and the matter may be reconsidered by the learned CIT(E). 5. The learned Departmental Representative submitted that there is no enabling provision to ignore the mistake. 6. We are constrained to note that multiple cases are being fixed for adjudication before this appeal also exactly on similar and identical issue on almost each day. The stand of the learned CIT(E) in summarily rejecting the application without delving into the merits is unjustified. We note that provisions of section 292B prescribes that any mistake or defect in any notice, summon is not sufficient to invalidate on action provided that the same is substance and effect is in conformity with the provisions of the Act. Here also, an inadvertent technical error may not be fatal to deny registration. In line with the consistent stand taken by us, this appeal is set aside to the file of the learned CIT(E) who is directed to reconsider the matter. 3 Sankalp Voluntary Social Organisation ITA no.553/Nag./2024 7. In the result, assessee’s appeal stands allowed for statistical purposes. Order pronounced in the open Court on 21/03/2025 Sd/- V. DURGA RAO JUDICIAL MEMBER Sd/- K.M. ROY ACCOUNTANT MEMBER NAGPUR, DATED: 21/03/2025 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. True Copy By Order Pradeep J. Chowdhury Sr. Private Secretary Sr. Private Secretary ITAT, Nagpur "