SUSMIT FOUNDATION,EAST DELHI V. CIT(EXEMPTION), DELHI

ITA 1228/DEL/2025

AI Insights

The case involves Susmit Foundation, which appealed against the orders of the Learned Commissioner of Income Tax (Exemption), New Delhi, rejecting their applications for registration under sections 12AB and 80G of the Income Tax Act, 1961. The Tribunal found that the CIT(E) had not provided adequate opportunities for the appellant to submit necessary documents, which constituted a violation of the principles of natural justice. Consequently, the Tribunal set aside the CIT(E)'s orders and remanded the case for re-evaluation.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 315581 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 14-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Assessment Year: 2024-2025
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AMISHA S. GUPTA
• Keywords: Set aside; Opportunity of being heard; Principle of natural justice
• Section: 12A; 80G

Judgement Text

" INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “E”: NEW DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI VIMAL KUMAR, JUDICIAL MEMBER ITA No.1225/DEL/2025 Assessment Year 2024-25 ITA No.1228/DEL/2025 Assessment Year 2024-25 Susmit Foundation, J-109A, Street No.6, Laxmi Nagar, Delhi- 1100 51 PAN No. ABVAS3502J Vs. CIT (Exemption) New Delhi (Appellant) (Respondent) O R D E R PER VIMAL KUMAR, JUDICIAL MEMBER: The appeals filed by appellant/assessee are against separate orders dated 30.12.2025 of Learned Commissioner of Income Tax (Exemption), Delhi [hereinafter referred to as ‘Ld. CIT(E)’] rejecting application in Form 10AB for grant of registration under section 12AB(1)(b)(ii)B and 80G(ii)(b)(B) of the Income Tax Act, 1961 (hereinafter referred to as ‘the Act’). 2. Brief facts of the case are that applicant-assessee is a society and date of incorporation is 27.07.2022. The applications Assessee by: N o n e Department by: Ms. Amisha S. Gupta, Sr. DR Date of Hearing: 14.05.2025 Date of pronouncement: 14.05.2025 ITA Nos.1225 & 1228/Del/2025 2 in Form 10AB for registration under Section 12A(1)(ac)(iii) of the Act and section 80(G) of the Act were filed on 22.06.2024. The applicant was issued a questionnaire dated 08.07.2024 with a request to furnish details/documents/clarifications in support of its claim of registration. In response thereto, applicant filed detailed/copy of certificate of incorporation and memorandum of association, copy of bank statement, financial statement for the financial year 2022-23 to 2023-2024, form 10AC under Section 12A and 80G of the Act. On perusal, it was noted by Ld. CIT(E) that applicant/assessee has not submitted complete details, hence, he further afforded an opportunity vide letter dated 04.12.2024 to provide all the required details with the instructions that no further opportunity shall be granted being limitation matter. Ld. CIT(E) through orders dated 30.12.2024 rejected both the applications. 3. Being aggrieved, appellant/applicant filed present appeal. 4. In the grounds of appeal, the appellant/applicant submitted that Ld. CIT(E) failed to give adequate opportunity of being heard to the applicant to submit documents and details in violation of principles of natural justice. ITA Nos.1225 & 1228/Del/2025 3 5. Learned Departmental Representative for the Department of Revenue submitted that applicant had failed to file relevant documents and all necessary details. 6. From examination of record in light of aforesaid rival contentions, it is crystal clear that learned CIT(E) rejected applications by observing discrepancies/non-filing of evidence/submissions of documents. 7. In view of above material facts, in the interest of substantial justice, impugned orders dated 30.12.2025 of Learned CIT(E) are set aside. The matter is restored to the file of the Learned CIT(E) for fresh decision in accordance with law. The appellant/applicant shall be afforded fair opportunity of hearing and filing of documents. 8. In the result, both the appeals of the appellant/assessee are allowed for statistical purposes. Order pronounced in the open court on 14/05/2025. Sd/- Sd/- (SHAMIM YAHYA) (VIMAL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 19/05/2025 Mohan Lal ITA Nos.1225 & 1228/Del/2025 4 Copy forwarded to - 1. Applicant 2. Respondent 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, New Delhi "