9911796707
TMI Blog2021 (5) TMI 801X X X X Extracts X X X X X X X X Extracts X X X X ..... tion u/s.12AA of the Income Tax Act. 2. The Ld. CIT(E) has erred in law and on facts that voluntary contributions (towards corpus) received by the charitable trust are not income as defined vide section 2(24)(iia) of the Act. 3. The Ld. CIT(E) has erred in not giving the reasonable opportunity of being heard while rejecting the application made u/s.12AA(1)(b)(ii) of the Act. 4. The assessee craves right to add, alter or modify any grounds of appeal before or at the time of hearing of the appeal." 2. The brief facts in this case are that the assessee has made online application in Form No.10A for approval of the Trust/ Institution u/s.12AA of the Act on 02.03.2020 under the category of Religious cum Charitable trust/institution. The a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ified in rejecting the grant of registration on the aforesaid grounds and that the Ld. CIT(Exemption) was only expected to examine whether the objects of the trust were charitable in nature and examine whether the activities of the trust were genuine or not and gather satisfaction in that regard. The Ld. Counsel for the assessee placed reliance on the following decisions: (a) Anand Social and Educational Trust Vs. CIT, 272 Taxman 7 (SC) (b) Commissioner of Income Tax (Exemption) Vs. Manekji Mota Charitable Trust, (2019) 267 TAXMAN 0016 (Bombay) (c) Kai Shri Mahadebrao Naykude Dnyanvikas Prabhodhini Trust Vs. Commissioner of Income Tax (Exemption), (2020) 208 TTJ (Pune) 296 (d) Fateh Chand Trust & College Committee, ITA No.406/Agra/2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d by the assessee trust. In this scenario, it was observed by the Pune Bench of the Tribunal in the case of Kai Shri Mahadebrao Naykude Dnyanvikas Prabhodhini Trust Vs. Commissioner of Income Tax (Exemption) (2020) 208 TTJ (Pune) 296 that when the objects of the trust were not disputed by the Department, nor they have disputed genuineness of activities of the assessee trust, then non filing of return u/s. 139(4A) of the Act cannot be the ground to deny registration u/s.12AA of the Act to the assessee. It is only at the assessment proceedings, the Assessing Officer can take appropriate steps as per law regarding the non-filing of return. However, at the time of granting registration, the object of the assessee trust has to be looked into and ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ust are not doubted by the Department and they have also not disputed the charitable nature of the activities conducted by the assessee trust. Meaning thereby, all the relevant records were submitted before the Ld. CIT(Exemption) and he had verified the same and was satisfied on this aspect fulfilling the requirement of Section 12AA of the Act. Considering the aforesaid judicial pronouncements, facts and circumstances in this case, we are of the considered view that this is not a fit case for rejection of application for registration u/s.12AA of the Act on the reasons mentioned in the order of the Ld. CIT(Exemption). There is no finding on facts that the activities carried out by the assessee are not genuine. Further, the Ld. CIT(Exemptio ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
