TAPASVI FOUNDATION TRUST,RAJKOT V. THE COMMISSIONER OF INCOME TAX (EXEMPTION), AHMEDABAD

MA 84/AHD/2025

AI Insights

The case involves Tapasvi Foundation Trust, which filed a Miscellaneous Application seeking rectification of an ITAT order that dismissed their appeal concerning the denial of final approval under section 80G(5) of the Income Tax Act by the Commissioner of Income Tax (Exemption). The dismissal was based on the grounds that the application was filed late and did not meet the criteria set by a CBDT Circular. The Trust argued that the ITAT had overlooked a crucial fact that their second application, correcting an earlier mistake of citing an incorrect Section Code, was filed within the extended deadline. The ITAT acknowledged this oversight and recalled the earlier order for a fresh adjudication.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 778177 (ITAT-AHMEDABAD)
• Duration Of Justice: 1 month(s) 12 day(s)
• Appeal Type: Miscellaneous Application
• Pronouncement Date: 08-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: A
• Assessment Year: misc
• Appeal Filed On: 26-08-2025
• Other Referred Cases: Radhe Krushna Gau Sala vs. CIT(E), Shree Kadava Patel Gau Seva Samaj Jamvali vs. CIT(E)
• Laws Referred To: Section 80G of the Income Tax Act
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: ABHIJIT
• Assessee Lawyers: VIMAL DESAI
• Section: 80G

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL “A” BENCH, AHMEDABAD BEFORE: SMT. ANNAPURNA GUPTA, ACCOUNTANT MEMBER AND Ms. SUCHITRA KAMBLE, JUDICIAL MEMBER MISCELLANEOUS APPLICATION No. 84/Ahd/2025 (in I.T.A. No. 270/Ahd/2025) (िनधा[रण वष[ / Assessment Year : N.A.) Tapasvi Foundation Trust C/o. Sarda & Sarda (CA), Sakar 1st Floor, Dr. Radha- Krishnan Road, Opp. Rajkumar College, Rajkot – 360001, Gujarat बनाम/ Vs. The Commissioner of Income Tax (Exemption) 609, Floor-6, Aayakar Bhavan (Vejalpur), Nr. Sachin Tower, 100 Foot Road, Anandnagar- Prahladnagar Road, Ahmedabad Öथायी लेखा सं./जीआइआर सं./PAN/GIR No. : AADTT7273P (Appellant) .. (Respondent) अपीलाथȸ ओर से /Appellant by : Shri Vimal Desai, AR Ĥ×यथȸ कȧ ओर से/Respondent by : Shri Abhijit, Sr.DR Date of Hearing 26/09/2025 Date of Pronouncement 08/10/2025 (आदेश)/ORDER PER ANNAPURNA GUPTA, AM: The present Miscellaneous Application seeking rectification in the order passed by the ITAT in ITA No.270/Ahd/2025 has been filed by the assessee. Printed from counselvise.com MA No.84/Ahd/2025 [Tapasvi Foundation Trust vs. CIT(E)] - 2 – 2. The mistake pointed out by the assessee in the said order is the non-consideration of a vital fact relating to the issue in appeal which was pointed out in the statement of facts and grounds of appeal and due to non-consideration of which the assessee’s appeal was dismissed, though on similar facts the Co-ordinate Benches of the ITAT have been allowing assesse’s appeal. 3. It was pointed out to us that the appeal of the assessee related to the order passed by the Ld. CIT(E) denying grant of final approval u/s.80G(5) of the Act for the reason that the application was delayed in filing and the delay was not saved by the extension of time provided for by the CBDT Circular No.7 of 2024, para 4.1 thereof. Ld. Counsel for the assessee pointed out that the ITAT noted that the assessee was unable to demonstrate how it was covered vide para 4.1 of the CBDT Circular, for treating the application filed by the assessee as within the extended time and dismissed the assessee’s appeal. 4. Ld. Counsel for the assessee pointed out that the assessee had pointed out a vital fact that the assessee originally had filed an application seeking approval u/s 80G of the Act mentioning incorrect Section Code, which had been rejected by the Ld. CIT(E) for non-prosecution thereof. But before the Ld. CIT(E) could pass such an order rejecting the initial application filed by the assessee, the assessee had filed another application mentioning the correct Printed from counselvise.com MA No.84/Ahd/2025 [Tapasvi Foundation Trust vs. CIT(E)] - 3 – section code. That though this form was delayed as per the original time line, but it was filed within the time extended by the CBDT Circular No. 7 of 2024. It was this second application filed by the assessee, which was rejected by the Ld. CIT(E) whose order was confirmed by the ITAT and which order is now the subject matter of the present miscellaneous application. Ld. Counsel for the assessee pointed out that in identical facts and circumstances, wherein the original application mentioning incorrect section code was dismissed for non-prosecution and the assessee had in the meanwhile filed second application within the extended time limit given by the CBDT for the purposes of mentioning the correct Section Code, the ITAT has repeatedly held that such cases as covered by para 4.1 of CBDT Circular No. 7 of 2024 and directed the Ld. CIT(E) to entertain the same. He drew our attention to the order passed by the ITAT in this regard in ITA No.280/Ahd/2025, dated 16.09.2025 in case of Radhe Krushna Gau Sala vs. CIT(E) and in ITA Nos. 278 and 279/Ahd/2025, dated 25.06.2025 in case of Shree Kadava Patel Gau Seva Samaj Jamvali vs. CIT(E). Copies of both the orders were placed before us. 5. He, therefore, stated that on account of ignoring this vital fact of the application filed before the Ld.CIT(E) being filed for the purposes of rectifying the mistake of incorrect Section Code, the order passed by the ITAT was incorrect and not in consonance with the orders of the Co-ordinate Bench on identical facts and circumstances. He, therefore, pleaded that the order passed be Printed from counselvise.com MA No.84/Ahd/2025 [Tapasvi Foundation Trust vs. CIT(E)] - 4 – restored and afresh order passed rectifying this mistake and allowing assessee’s appeal as covered by the orders of the Co- ordinate Bench of the ITAT. 6. Ld. DR fairly admitted that the ITAT did not take cognizance of the fact as pointed out by the Ld. Counsel for the assessee. He also fairly agreed with the issue otherwise being covered in favour of the assessee by the decision of ITAT as pointed out by the Ld. Counsel for the assessee before us. 7. In view of the above, we agree that the order passed by the ITAT in ITA No.270/Ahd/2025 needs to be recalled on account of a vital fact pertinent to the issue being adjudicated not being considered by the ITAT, as pointed out by the Ld. Counsel for the assessee before us and admitted by the Ld. DR also. The ITAT has failed to take note of the fact that the impugned application before it, filed by the assessee seeking approval u/s 80G of the Act, was for the purpose of rectifying the mistake in its earlier application of mentioning the incorrect Section Code. In view of the various decisions of the ITAT in other appeals holding such applications filed as in the present case to be covered by para 4.1 of CBDT Circular No.7 of 2024, there is a clear mistake in the order passed by the ITAT dismissing the assesee’s appeal ignoring this vital fact. Printed from counselvise.com MA No.84/Ahd/2025 [Tapasvi Foundation Trust vs. CIT(E)] - 5 – 8. In the light of the above, the order passed by the ITAT in ITA No.270/Ahd/2025 is recalled for adjudication afresh. 9. In the result, Miscellaneous Application filed by the assessee is allowed. This Order pronounced on 08/10/2025 Sd/- Sd/- (SUCHITRA KAMBLE) (ANNAPURNA GUPTA) JUDICIAL MEMBER ACCOUNTANT MEMBER Ahmedabad; Dated 08/10/2025 S. K. SINHA True Copy आदेश कȧ Ĥितिलǒप अĒेǒषत/Copy of the Order forwarded to : 1. अपीलाथȸ / The Appellant 2. Ĥ×यथȸ / The Respondent. 3. संबंिधत आयकर आयुƠ / Concerned CIT 4. आयकर आयुƠ(अपील) / The CIT(A)- 5. ǒवभागीय Ĥितिनिध, आयकर अपीलीय अिधकरण, अहमदाबाद / DR, ITAT, Ahmedabad 6. गाड[ फाईल / Guard file. आदेशानुसार/ BY ORDER, उप/सहायक पंजीकार (Dy./Asstt. Registrar) आयकर अपीलीय अिधकरण, अहमदाबाद / ITAT, Ahmedabad Printed from counselvise.com "