YOUTH UNITED FOR VISION AND ACTION (YUVA),NEW DELHI V. COMMISSIONER OF INCOME TAX(EXEMPTION), DELHI, CIVIC CENTRE, MINTO ROAD, NEW DELHI

ITA 992/DEL/2025

AI Insights

The case involves Youth United for Vision and Action (YUVA), a trust, which appealed against the rejection of their applications for regular approval under Section 80G(5)(iii) and registration under section 12A(1)(ac)(iii) of the Income Tax Act, 1961. The applications were initially rejected by the Learned Commissioner of Income Tax (Exemption) due to non-submission of donor confirmations and other required documents. The trust argued that the rejection was unjust as they faced technical issues that prevented proper submission of documents. The Tribunal agreed with the trust's position, emphasizing the need for a fair opportunity to present their case, and thus set aside the previous order and remanded the matter for a fresh decision.

• Counselvise Citation: [2025] 140 COUNSELVISE.COM (IT) 315753 (ITAT-DELHI)
• Appeal Type: Income Tax Appeal
• Pronouncement Date: 13-05-2025
• Appeal Filed By: Assessee
• Order Result: Allowed
• Bench Allotted: E
• Assessment Year: misc
• Laws Referred To: Income Tax Act, 1961
• Result in Favour of: Assessee
• Court: TRIBUNAL
• Department Lawyers: AMISHA S. GUPTA
• Assessee Lawyers: ASTHA GUPTA
• Keywords: Set aside; Principle of natural justice
• Section: 12A

Judgement Text

" INCOME TAX APPELLATE TRIBUNAL DELHI BENCH “C”: NEW DELHI BEFORE SHRI SHAMIM YAHYA, ACCOUNTANT MEMBER AND SHRI VIMAL KUMAR, JUDICIAL MEMBER ITA No.992/DEL/2025 Assessment Year 2025-26 ITA No.993/DEL/2025 Assessment Year 2025-26 Youth United for Vision and Action (YUVA), 5, Prem Nagar Market, (New Sewa Nagar), Lodhi Road, New Delhi PIN - 1100 03 PAN No. AABTY0015E 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 the separate orders dated 27.12.2024 of Learned Commissioner of Income Tax (Exemption), Delhi [hereinafter referred to as ‘Ld. CIT(E)’] rejecting applications in Form 10A for grant of regular approval under Section 80G(5)(iii) and registration under section 12A(1)(ac)(iii) of the Act, 1961 (hereinafter referred to as ‘the Act’). Assessee by: Ms. Astha Gupta, CA Department by: Ms. Amisha S. Gupta, Sr. DR Date of Hearing: 13.05.2025 Date of pronouncement: 13.05.2025 ITA Nos.992 & 993/Del/2025 2 2. Brief facts of the case are that applicant-assessee is a Trust incorporated on 10.08.2023. The applicant has obtained provisional registration vide CPC Order No.AABTY0015EE2023101 issued for the period from assessment year 2024-25 to 2026-27 under item-(A) sub clause (vi) of clause (ac) of the sub-section (1) of section 12A of the Act. Applicant Trust filed applications on 29.06.2024 in Form 10AB for regular registration under Section 12A(1)(ac)(iii) of the Act. Main objects of the applicant-trust as per Form AB are to provide relief of the poor, education, medical relief etc. During financial year 2023- 24, an amount of Rs.20,21,924/- was recorded as a donation received. However, neither confirmation from the donors nor Form 10BE issued to donors has been submitted by the applicant/assessee. Questionnaire in this regard was issued on July 05, 2024, requesting the applicant to provide additional details, documents and clarifications to support the registration claim. Further opportunities to the applicant/assessee were provided through notices but the applicant responded on 16.10.2024 and submitted part reply. Ld. CIT(E) through orders dated 27.12.2024 rejected both the applications. ITA Nos.992 & 993/Del/2025 3 3. Being aggrieved, appellant/applicant filed present appeal. 4. Learned Authorised Representative for the appellant/applicant submitted that Ld. CIT(E) failed to give adequate opportunity of being to the applicant to submit documents. The documents were submitted through online process. Due to technical glitch, the mail was parked in the spam folder. 5. Learned Departmental Representative for the Department of Revenue submitted that applicant had failed to file detailed information required by the notices in support of genuineness of the activities. 6. From examination of record in light of aforesaid rival contentions, it is crystal clear that learned CIT(E) rejected application by observing discrepancies/non-filing of evidence/submissions on charitable activities as per objects in the trust deed in violation of principles off natural justice. 7. In view of above material facts, in the interest of substantial justice, impugned order dated 27.12.2024 of Learned CIT(E) is set aside. The matter is restored to the file of the Learned CIT(E) for fresh decision in accordance with law. ITA Nos.992 & 993/Del/2025 4 8. In the result, both the appeals of the assessee are allowed for statistical purposes. Order pronounced in the open court on 13/05/2025. Sd/- Sd/- (SHAMIM YAHYA) (VIMAL KUMAR) ACCOUNTANT MEMBER JUDICIAL MEMBER Dated: 16/05/2025 Mohan Lal Copy forwarded to - 1. Applicant 2. Respondent 3. CIT 4. CIT (A) 5. DR:ITAT ASSISTANT REGISTRAR ITAT, New Delhi "