THE PRADHAN MERCANTILE ASSOCIATION CHARITY FUND,DELHI V. CIT EXEMPTION, DELHI

ITA 2469/DEL/2025

AI Insights

The case involves The Pradhan Mercantile Association Charity Fund appealing against the decision of the CIT(E), which had rejected their application for renewal of provisional registration under section 80G(5)(ii) of the Income-tax Act, 1961. The primary contention of the assessee was that the CIT(E) had rejected their application without adequately considering the documents and details they had provided. The Tribunal noted that some documents submitted by the assessee were not considered by the CIT(E) and decided to remand the case back to the CIT(E) for a fresh evaluation.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 780429 (ITAT-DELHI)
• Duration Of Justice: 5 month(s) 24 day(s)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 10-10-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: B
• Assessment Year: misc
• Appeal Filed On: 16-04-2025
• Laws Referred To: Income-tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: POOJA SWAROOP
• Keywords: Opportunity of being heard; Charitable institution
• Section: 80G

Judgement Text

"IN THE INCOME TAX APPELLATE TRIBUNAL, DELHI ‘B’ BENCH, NEW DELHI BEFORE SHRI YOGESH KUMAR US, JUDICIAL MEMBER, AND SHRI NAVEEN CHANDRA, ACCOUNTANT MEMBER ITA No. 2469/DEL/2025 The Pradhan Mercantile Vs. The C.I.T Association Charity Fund [Exemption] 1210-16, Chandni Chowk Delhi Baratooti, Delhi PAN: AAATT 0565 D (Applicant) (Respondent) Assessee By : None Department By : Ms. Pooja Swaroop, CIT- DR Date of Hearing : 16.09.2025 Date of Pronouncement : 10.10.2025 ORDER PER NAVEEN CHANDRA, ACCOUNTANT MEMBER:- This appeal by the assessee is preferred against the order of the CIT(E), Delhi dated 25.06.2025. 2. The solitary grievance of the assessee in this appeal is that the order of the ld. CIT(E) rejecting the application for renewal of Printed from counselvise.com ITA No. 2469/DEL/2025 The Pradhan Mercantile Association Charity Fund Vs. The C.I.T(E) Page 2 of 5 provisional registration u/s 80G(5)(ii) of the Income-tax Act, 1961 [the Act, for short] is illegal and sought to grant registration. 3. None appeared on behalf of the assessee but a written submission was filed. We decided to proceed ahead with the assistance of the ld. DR. The ld. DR was heard at length and the case records were carefully perused. 4. Brief facts of the case are that the assessee filed an application on 28.09.2024 in Form No. 10AB for approval under clause (ii) of first proviso to section 80G of the Income-tax Act, 1961 [the Act, for short]. The assessee was issued a questionnaire with a request to furnish certain details/documents/clarifications in support of its claim of registration. The assessee submitted the requisite details in support of genuineness of the activities of the charitable trust. The assessee was further asked to furnish copy of Form 10BE issued to the doners which was not submitted. Certain more queries remained uncompiled with and left with no choice, the ld. CIT(E) rejected the application filed in Form 10AB for grant of approval u/s 80G(5) of the Act. 5. At the very outset, the assessee in its written submission, argued that the CIT(E) has without explaining any infirmity or Printed from counselvise.com ITA No. 2469/DEL/2025 The Pradhan Mercantile Association Charity Fund Vs. The C.I.T(E) Page 3 of 5 deficiency in the details filed has rejected the registration. The assessee contended that the assessee could not file all the documents called for before the Id. CIT(E), and therefore, the application for grant of approval u/s 80G (5) of the Act was rejected. The Id. counsel for the assessee prayed for quashing of the appeal of CIT(E). 6. Per contra, the Id. DR relied on the order of the CIT(E). The ld DR however, did not raise any serious objection on setting aside the issue to the CIT(E) for reconsideration. 7. We have heard the rival submissions and have perused the relevant material on record. We find that the assessee has submitted certain documents as required by the ld. CIT(E) which the CIT(E) has not considered. In view of the factual matrix of the instant case, in the interest of justice and fair play, we deem it appropriate to restore the appeal to the file of the ld. CIT(E). The ld. CIT(E) is directed to decide the appeal afresh after affording a reasonable and adequate opportunity of being heard to the assessee and considering the evidences/material furnished by the assessee. The assessee is directed to cooperate with the proceedings and furnish documents/evidence as required by the ld. CIT(E). Printed from counselvise.com ITA No. 2469/DEL/2025 The Pradhan Mercantile Association Charity Fund Vs. The C.I.T(E) Page 4 of 5 8. In the result, appeal of the assessee in ITA No. 2469/DEL/2025 is allowed for statistical purposes. The order is pronounced in the open court on 10.10.2025. Sd/- Sd/- [YOGESH KUMAR U.S.] [NAVEEN CHANDRA] JUDICIAL MEMBER ACCOUNTANT MEMBER Dated: 10th OCTOBER, 2025. VL/ Copy forwarded to: 1. Appellant 2. Respondent 3. CIT 4. CIT(A) Asst. Registrar, 5. DR ITAT, New Delhi Printed from counselvise.com ITA No. 2469/DEL/2025 The Pradhan Mercantile Association Charity Fund Vs. The C.I.T(E) Page 5 of 5 Sl No. PARTICULARS DATES 1. Date of dictation of Tribunal Order 2. Date on which the typed draft order is placed before the Dictating Member 3. Date on which the typed draft order is placed before the other Member [in case of DB] 4. Date on which the approved draft order comes to the Sr. P.S./P.S. 5. Date on which the fair Order is placed before the Dictating Member for sign 6. Date on which the fair order is placed before the other Member for sign [in case of DB] 7. Date on which the Order comes back to the Sr. P.S./P.S for uploading on ITAT website 8. Date of uploading, inf not, reason for not uploading 9. Date on which the file goes to the Bench Clerk 10. Date on which the file goes for Xerox 11. Date on which the file goes for endorsement 12. The date on which the file goes to the Superintendent for checking 13. Date on which the file goes to the Assistant Registrar for signature on the order 14. Date on which the file goes to the dispatch section for dispatch the Tribunal order 15. Date of Dispatch of the Order 16. Date on which the file goes to the Record Room after dispatch the order Printed from counselvise.com "