SETH LAL CHAND DHARMARTH SANSTHAN,NIZAMUDDIN WEST V. CIT (EXEMPTION), DELHI, CIVIC CENTRE, NEW DELHI

ITA 4727/DEL/2025

AI Insights

The case involves Seth Lal Chand Dharmarth Sansthan, which appealed against the decision of the CIT (Exemption) rejecting their application under section 80G(5) of the Income Tax Act, 1961. The CIT(E) had rejected the application on grounds of non-compliance with notices and the trust deed not being registered with the competent authority, along with the school run by the Society not being recognized by the Government. The tribunal considered the order inform 10AC, which granted registration from AY 2022-23 to 2026-27, and the documents presented at that time. The tribunal decided to remand the matter back to the CIT(E) for a fresh examination, allowing the assessee another opportunity to present their case.

• Counselvise Citation: [2026] 140 COUNSELVISE.COM (IT) 846842 (ITAT-NEW DELHI)
• Duration Of Justice: 7 month(s) 25 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 25-03-2026
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: Delhi
• Assessment Year: misc
• Appeal Filed On: 31-07-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Matter Remanded
• Court: TRIBUNAL
• Department Lawyers: POOJA SWAROOP
• Assessee Lawyers: P.D. MITTAL
• Keywords: Opportunity of being heard; Competent authority

Judgement Text

"ITA No.4727/Del/2025 1 IN THE INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “B”NEW DELHI BEFORE SHRI CHALLA NAGENDRA PRASAD, JUDICIAL MEMBER AND SHRISANJAY AWASTHI, ACCOUNTANT MEMBER आ.अ.सं/.I.T.A No.4727/Del/2025 िनधा रणवष /Assessment Year:2025-26 SETH LAL CHAND DHARMARTH SANSTHAN, A-11, Nizamuddin West,New Delhi. PAN No.AAATS2620N बनाम Vs. CIT (EXEMPTION), Civic Centre, Minto Road, New Delhi. अपीलाथ\u0014 Appellant \u0016\u0017यथ\u0014/Respondent Assessee by Shri P.D. Mittal, CA Revenue by Ms. Pooja Swaroop, CIT DR सुनवाईक\bतारीख/ Date of hearing: 23.03.2026 उ\u000eोषणाक\bतारीख/Pronouncement on 25.03.2026 आदेश /O R D E R PER SANJAY AWASTHI, ACCOUNTANT MEMBER: 1. In this case the application under 80G(5) of the Income Tax Act, 1961 (hereafter as “the Act”), has been rejected by the Ld. CIT(E) on the ground that full compliance was not made before him with respect to the notices issued from his office and also on the basis of a finding that the trust deed was not registered with the competent authority. It is also a finding that the school being run by the Society was not recognized by the Government. Printed from counselvise.com ITA No.4727/Del/2025 2 2. Before us the Ld. AR placed on record an order inform 10AC dated 21.07.2023 granting registration from AY 2022-23 to 2026-27. It was the submission that while granting such registration all necessary documents were placed before the then CIT(E) who was pleased to grant registration. 3. The Ld. DR relied on the order of CIT(E) and stated that in the absence of all necessary documents, the Ld. CIT(E) could not have granted registration. 4. We have carefully considered the submissions and have gone through the records before us. It is seen that once a registration was granted in Form 10AC then there could be no case where the trust deed itself would be found defective or missing.In any case the assessee desires to make a presentation of facts before the Ld. CIT(E) and seeks another opportunity to present the documents. Accordingly, we deem it fit to remand this matter back to the file of Ld. CIT(E) for fresh adjudication, after giving an opportunity of being heard. 5. In the result, appeal is allowed for statistical purposes. Order pronounced in the open court on 25.03.2026 Sd/- Sd/- (CHALLA NAGENDRA PRASAD) (SANJAY AWASTHI) JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 25.03.2026 *Kavita Arora, Sr. P.S. Printed from counselvise.com ITA No.4727/Del/2025 3 Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(Appeals) 5. DR: ITAT ASSISTANT REGISTRAR ITAT, NEW DELHI Printed from counselvise.com "