SHREE LAXMINARAYAN GOSALA SEVA SAMITI, BARWA,PALI V. CIT(EXEMPTION), JAIPUR

ITA 527/JODH/2024

AI Insights

The case involves Shree Laxminarayan Gosala Seva Samiti Barwa Pali, which appealed against the decision of the Commissioner of Income-tax (Exemption), Jaipur, who had rejected their application for registration under section 12AB of the Income-tax Act, 1961. The rejection was primarily due to the absence of a required registration certificate under the Rajasthan Public Trust Act, 1959. During the tribunal hearing, the assessee presented the missing certificate, which had been issued after the initial rejection. The Tribunal found that the Commissioner had not specifically pointed out any issues regarding the genuineness of the trust's activities and thus decided to remand the matter back to the Commissioner for a fresh evaluation.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 716547 (ITAT-JODHPUR)
• Duration Of Justice: 1 year(s) 1 month(s) 29 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 20-08-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: DB
• Assessment Year: misc
• Appeal Filed On: 21-06-2024
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ASSESSEE RAJENDRA JAIN; REVENUE M.K. JAIN; LD
• Keywords: Opportunity of being heard
• Section: 12A

Judgement Text

"1 ITA No527/Jodh/2024 Shree Laxminarayan Gosala Seva Samiti Barwa Pali IN THE INCOME TAX APPELLATE TRIBUNAL JODHPUR BENCH, JODHPUR BEFORE DR. MITHA LAL MEENA, HON’BLE ACCOUNTANT MEMBER AND SHRI ANIKESH BANERJEE, HON’BLE JUDICIAL MEMBER I.T.A No.527/Jodh/2024 Shree Laxminarayan Gosala Seva Samiti Barwa Pali, C/o Rajendra Jain Advocate, 106, Akshay Deep Complex, 5th B Road, Sardarpura, Jodhpur-342 001 PAN:ABPAS0228M vs The CIT(Exemption), Jaipur, Rajasthan APPELLANT RESPONDENT Date of hearing 19/08/2025 Date of pronouncement 20/08/2025 O R D E R Per Bench: The instant appeal of the assessee filed against the order of the Learned Commissioner of Income-tax (Exemption), Jaipur [for brevity, ‘Ld.CIT(E)’] passed under section 12A of the Income-tax Act, 1961 (in short, ‘the Act’), date of order 15/05/2024. 2. We heard the rival submissions and considered the documents available on the record. The assessee filed application in Form 10AB seeking registration under section 12AB of the Act. During the hearing before the Ld.CIT(E), the assessee was unable to submit the registration certificate under the Rajasthan Present for Assessee Shri Rajendra Jain, Advocate and Smt. Raksha Birla, CA Present for Revenue Shri M.K. Jain, Ld.CIT(DR) Printed from counselvise.com 2 ITA No527/Jodh/2024 Shree Laxminarayan Gosala Seva Samiti Barwa Pali Public Trust Act, 1959. Finally, the order was passed on 15/05/2024. But as per the Ld. CIT(E) the said registration is required as per the provisions of section 12AB(1)(b)(ii)(B) of the Act. So, contravening the alleged provision the application of the assessee was rejected by the revenue. The aggrieved assessee filed an appeal before the Bench by challenging the order of the Ld.CIT(E). 3. During the course of hearing, the Ld. AR placed on record a copy of the certificate of registration granted under the Rajasthan Public Trust Act, 1959, dated 23.07.2024, which was admittedly issued subsequent to the impugned order passed by the Ld. CIT(E). The Ld. DR, upon verification of the said document, did not raise any objection. On careful consideration, we find that the rejection of the assessee’s application for registration by the Ld. CIT(E) was primarily on account of the absence of the registration certificate under the Rajasthan Public Trust Act, 1959, and certain observations regarding the genuineness of activities. However, on perusal of the order, we do not find any specific lacuna pointed out by the Ld. CIT(E) as to the genuineness of the activities of the assessee trust. Now that the assessee has obtained the requisite registration certificate bearing No. 22/2024 (Pali) dated 23.07.2024, we deem it appropriate to restore the matter to the file of the Ld. CIT(E) with a direction to verify the said certificate and to consider the assessee’s application afresh. The Ld. CIT(E) is directed to grant registration to the assessee, subject to due verification of the aforesaid certificate and compliance with law. Printed from counselvise.com 3 ITA No527/Jodh/2024 Shree Laxminarayan Gosala Seva Samiti Barwa Pali Needless to say, theassessee shall be afforded a reasonable opportunity of being heard in the set-aside proceedings. At the same time, the assessee is directed to be diligent and co-operative in the proceedings before the Ld. CIT(E). 4. In the result, appeal of the assessee bearing ITA No.527/Jodh/2024 is allowed. Order pronounced in the open court on 20th August, 2025 Sd/- sd/- (DR.MITHA LAL MEENA) (ANIKESH BANERJEE) ACCOUNTANT MEMBER JUDICIAL MEMBER Jodhpur, Dt : 20th August, 2025 Pavanan Copy of the Order forwarded to: 1. अपीलाथŎ/The Appellant , 2. Ůितवादी/ The Respondent. 3. आयकरआयुƅ CIT 4. िवभागीयŮितिनिध, आय.अपी.अिध., मुबंई/DR, ITAT, Jodhpur 5. गाडŊफाइल/Guard file. BY ORDER, //True Copy// (Asstt. Registrar), ITAT, Jodhpur Printed from counselvise.com "