2023 (3) TMI 1098 - AT - Income Tax

Application for registration u/s 12A - grant registration u/s 12AA to the applicant Trust from the date of application - HELD THAT - Assessee had applied for registration to the CIT(E) Chandigarh for A.Y.2017-18 as per Form- 10A but worthy CIT(Exemptions) had granted registration in respect of Assessment Year 2018-19 vide order dated 30.03.2022 in the 2nd round of adjudication in compliance to the Tribunal Order remanding back the matter for adjudication on facts and in law. Since, the appellant Trust has filed application dated 16.05.2016 in respect of the Assessment Year 2017-18, the registration is required to be granted with effect from the Assessment Year 2017-18. DR has no objection to the request of the appellant Trust in granting registration with effect from the date of application for registration in respect of the Assessment Year 2017-18 under consideration. Accordingly, the CIT(E) is directed to grant registration u/s 12AA of the Act, to the applicant Trust from the date of application i.e. dated 16.05.2016 in respect of the Assessment Year 2017-18.Appeal of the assessee is allowed.

Summary

Issues Involved:
The appeal against the order of the Ld. Commissioner of Income Tax (Exemptions), Chandigarh for Assessment Year 2017-18.

Delay in Filing Appeal:
The counsel argued for condonation of delay of 211 days in filing the appeal, citing the case law emphasizing substantial justice over technical considerations. The delay was condoned, and the appeal was admitted on merits.

Grant of Registration u/s 12AA:
The CIT(Exemptions) initially rejected the application for registration u/s 12A but later granted registration for Assessment Year 2018-19 in compliance with the Tribunal order. The conditions for registration were specified, including maintaining accounts, filing annual returns, and adhering to specific provisions of the Income Tax Act. The registration was directed to be granted from the date of the original application for Assessment Year 2017-18.

Conclusion:
The appeal was allowed, and the CIT(E) was directed to grant registration u/s 12AA to the applicant Trust from the date of the application for Assessment Year 2017-18.