Savitri Devi Mathur Seva Vs CIT (ITAT Jodhpur)
Summary: The Income Tax Appellate Tribunal, Jodhpur Bench, allowed both appeals filed by Savitri Devi Mathur Seva Sansthan against separate orders dated 28.08.2024 passed by the CIT (Exemption), Jaipur, rejecting its applications for registration under section 12AB and approval under section 80G. The appeals were heard together because the rejection of the 80G application followed the rejection of the 12AB application.
The Tribunal first condoned an eight-day delay in filing both appeals. The assessee explained that technical difficulties in accessing the ITAT e-filing portal, including OTP and login problems, occurred between 22.10.2024 and 28.10.2024, followed by the unavailability of its consultant during the Diwali holidays. The Revenue raised no objection. The Tribunal held that sufficient cause existed and admitted both appeals for adjudication on merits.
The assessee had filed Form No. 10AB applications on 15.02.2024 under section 12A(1)(ac)(iii) for registration under section 12AB and separately for approval under section 80G. The CIT(E) issued several notices and also obtained a local-verification report from the Income Tax Officer (Exemption), Jodhpur. The CIT(E) ultimately doubted the genuineness and independent functioning of the trust, particularly concerning rent and salary expenditure, use of medical equipment, beneficiary particulars and donations. He inferred that the premises, operation theatre and medical equipment were being used in connection with Mathur Eye Hospital, a proprietary concern of trustee Dr. Vipul Mathur, and that trust funds were being diverted for the benefit of connected persons.
