SHAHEED BHAGAT SINGH SENA,VILLAGE NITHARI NOIDA V. CIT EXEMPTION, LUCKNOW

ITA 191/LKW/2025

AI Insights

The case involves Shaheed Bhagat Singh Sena, a trust, which filed appeals against the orders of the CIT (Exemptions), Lucknow, rejecting its applications for registration under sections 12A and 80G(5) of the Income Tax Act, 1961. The CIT (Exemptions) had rejected these applications on the grounds of insufficient documentary evidence to substantiate the genuineness and commencement of the trust's charitable activities. The Tribunal found that the CIT (Exemptions) had not provided a reasonable opportunity for the assessee to respond adequately to the queries and requirements for documentation, leading to the decision to set aside the CIT's orders and remand the matter for a fresh decision.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 705764 (ITAT-LUCKNOW)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 30-06-2025
• Appeal Filed By: Assessee
• Order Result: Partly Allowed
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Partly Allowed
• Court: TRIBUNAL
• Department Lawyers: REVENUE EXPRESSED; R.K. AGARWAL
• Assessee Lawyers: MOHD. NIJAM
• Keywords: Set aside; Opportunity of being heard
• Section: 12A; 80G

Judgement Text

"I.T.A. No.191 & 192/Lkw/2025 Assessment Year:2025-26 1 IN THE INCOME TAX APPELLATE TRIBUNAL LUCKNOW BENCH ‘A’, LUCKNOW BEFORE SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER AND SHRI ANADEE NATH MISSHRA, ACCOUNTANT MEMBER I.T.A. No.191 & 192/Lkw/2025 Assessment Year:2025-26 Shaheed Bhagat Singh Sena, Shop No. 3, Gali No. 8, Village-Nithari, Near Mother Dairy, Sector-31, NOIDA. PAN:AASTS5776K Vs. CIT (Exemption) Lucknow. (Appellant) (Respondent) O R D E R PER BENCH: (A) These two appeals have been filed by the assessee, against the impugned orders each dated 30/12/2024 passed by learned CIT (Exemptions), Lucknow u/s 12AB((1)(ii)(B) and under section 80G(5) of the Income Tax Act, 1961 (“the Act” for short). (B) The facts of the case, in brief, are that the assessee filed application for registration of the trust u/s 12AB of the Act and also moved an application for registration of the trust u/s 80G(5) of the Act on 30/06/2024. The learned CIT (Exemptions) issued notice to the assessee Appellant by Mohd. Nijam, A.R. Respondent by Shri R. K. Agarwal, CIT (D.R.) I.T.A. No.191 & 192/Lkw/2025 Assessment Year:2025-26 2 on 14/10/2024 fixing the date of compliance on 23/10/2024. In response to the said notice, part reply/documents were filed. The CIT (Exemptions) also required the assessee to submit a note on activities conducted since inception/during last three years and a note specifying the main area of charitable/religious activities. The assessee was required to furnish the documentary evidences to substantiate the charitable activities carried out by the assessee in recent past. The learned CIT (Exemptions) rejected the application of the assessee for registration u/s 12A of the Act on the ground that the assessee has failed to file documentary evidences to enable him to satisfy about the genuineness & commencement of its charitable activities and failed to verify these activities. Since the application for registration under section 12A of the Act was rejected, the CIT (Exemptions) also rejected the application of the assessee moved under section 80G(5)(i) of the Act. Aggrieved, the assessee is in appeal before the Income Tax Appellate Tribunal. (C) We noted that learned CIT (Exemptions) has rejected the application of the assessee for registration u/s 12A. From the order of learned CIT (Exemptions), it is apparent that the learned CIT (Exemptions) had issued notice calling for certain queries, documents/clarifications however, as per learned CIT (Exemptions), the assessee filed only part reply and learned CIT(A) rejected the application of the assessee. At the time of hearing before us, the learned Authorized Representative of the assessee submitted that the learned CIT (Exemptions) rejected the assessee’s application u/s 12A and u/s 80G without providing reasonable opportunity for providing the I.T.A. No.191 & 192/Lkw/2025 Assessment Year:2025-26 3 details called for by the learned CIT (Exemptions). He further submitted that the matters in dispute in these two appeals in respect of assessee’s applications u/s 12A and u/s 80G of the Act should be restored back to the file of the learned CIT (Exemptions) with the direction to pass de novo order in accordance with law after providing reasonable opportunity to the assessee. The learned Departmental Representative for Revenue expressed no objection to this. In view of the foregoing and in the specific facts and circumstances of the present appeals before us; we set aside the impugned orders of learned CIT (Exemptions) and restore the matters regarding the assessee’s applications u/s 12A and u/s 80G of the Act; back to his file with the direction to consider the applications of the assessee for registration u/s 12A and 80G(5) of the Act afresh and to pass de novo orders after giving reasonable opportunity of being heard to the assessee. (D) In the result, both the appeals of the assessee are partly allowed for statistical purposes. (Order was pronounced in the open court on 30/06/2025) Sd/. Sd/. (SUDHANSHU SRIVASTAVA) (ANADEE NATH MISSHRA) Judicial Member Accountant Member Dated:30/06/2025 *Singh Copy of the order forwarded to : 1. The Appellant 2. The Respondent. 3. Concerned CIT 4. D.R., I.T.A.T., "