Goregoan Sports Club Vs ITO (ITAT Mumbai)
ITAT Mumbai: 80G Renewal Cannot Be Denied for Curable Defects or Proposed Object-Clause Amendment
The Mumbai ITAT allowed the appeal of Goregaon Sports Club against rejection of its application for renewal of approval under section 80G. The CIT(E) had denied approval primarily on two grounds: (i) the trust deed contained an object permitting application of funds outside India, allegedly violating section 11, and (ii) the application was filed citing an incorrect statutory provision.
The Tribunal noted that the assessee already held valid registration under section 12A for AYs 2022-23 to 2026-27 and had earlier been granted 80G approval up to AY 2024-25. It accepted the assessee’s submission that no funds were actually applied outside India and that steps had been initiated to amend the object clause to remove the impugned provision. Importantly, the Tribunal held that mentioning an incorrect provision while filing the application is a curable defect and should not defeat substantive entitlement, especially where provisional approval had earlier been granted.
Accordingly, the ITAT directed the assessee to file a fresh application under the correct provision and instructed the CIT(E) to consider it on merits, condone any delay, and grant a reasonable opportunity of hearing. The appeal was allowed for statistical purposes
FULL TEXT OF THE ORDER OF ITAT MUMBAI
