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TMI Blog2020 (6) TMI 631X X X X Extracts X X X X X X X X Extracts X X X X ..... aised in the appeals are reproduced as under: Grounds of appeal raised in ITA No. 9135/Del./2019 1. The Learned Commissioner of Income Tax (Exemptions) [ "Ld. CIT(E)"] has erred in law as well as in facts by rejecting the application for exemption u/s 80G of the Income Tax Act, 1961 ("the Act") 2. The Ld. CIT(E) has erred in facts as well as in law by rejecting the application solely on the reason that charitable activities could not be substantiated. 3. The Ld. CIT(E) has erred in facts as well as law by disregarding the charitable objects as per the Memorandum of Association. 4. The appellant craves leave to add to, amend, alter, vary, omit or substitute the above statement of facts at any time before or during the course of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... during the course of the appellate proceedings. 3. The briefly stated facts of the case are that the assessee initially filed application for registration under section 12AA of the act on 19/06/2018, which was dismissed on 21/12/2018 due to withdrawal of the same by the assessee. The present applications for registration under section 12AA and approval under section 80G of the Act were filed by the assessee on 28/03/2019. The assessee claimed to have worked in the field of improving the health and educational outcomes of the children, young people including mothers through programs like deworming, early childhood care, diarrhea and pneumonia management etc. The assessee carried research and provided technical assistance/consultancy to var ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ational models for cost effective and sustainable solutions and that the applicant's objectives are primarily in the nature of researching, providing technical assistance / consultancy and relevant inputs / research documents / data to various government departments battling health and malnutrition related problems of the Indian society at large. The applicant is a research oriented entity working with various ministries (such as, ministry of women and child development, ministry of health and family welfare etc.). Though, vast & large aims & objectives have been enumerated but the applicant company has not submitted any documentary evidence of having entered into any MOU/ Agreement with any such central /state government Deptt/Ministry or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . Accordingly, the application filed by the applicant for grant of registration u/s 12A is hereby rejected. 10. Since the applicant is not registered u/s 12A(a)of the Income Tax Act 1961, its application in form No.10G seeking approval u/s 80G is also rejected as charitable activities could not be substantiated." 4. Before us, the learned counsel of the assessee referred to the paper-book filed electronically and submitted his arguments through video conferencing. He submitted that firstly, the earlier registration application was withdrawn by the assessee itself and therefore, consequent dismissal by the CIT(E) is not having any impact on the present application for registration. Further, he submitted that in view of the decision of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dispute through video conferencing. For registration u/s 12AA of the Act, the assessee must fulfill the twin conditions. Firstly, the objects of the society/trust should be charitable in nature and secondly, the activities of the society/trust should be genuine. We may note that the Hon'ble Allahabad High Court in the case of Baburam Educations Society (supra) held that where the trust has not commenced the charitable activities, in such circumstances the only object of the trust should be seen for grant of registration under section 12A of the act. But in the instant case the assessee has already received the donations of Rs.13,65,000; Rs. 40,00,000/- and Rs. 60,00,000/- from one person, namely, Sri Mukut Behari Bargava and claimed to hav ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e facts and circumstances of the case, we feel it appropriate to restore the matter of registration under section 12AA of the Act back to the Ld. CIT(E) for examining the genuineness of the activities with the direction to the assessee to submit the necessary details of the activities carried out supported by the evidences. The appeal of the assessee against rejection of registration is accordingly allowed for statistical purposes. 7. The matter of approval u/s 80G of the Act is an action consequent to the registration, therefore, the appeal filed against rejection of approval u/s 80G is also restored to Ld. CIT(E ) for deciding afresh. 8. In result, both the appeals of the assessee are allowed for statistical purposes. Order pronounced ..... X X X X Extracts X X X X X X X X Extracts X X X X
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