Shree Swatember Murtipujak Jain Tapgachh Sangh Tiker Vs CIT (Exemptions) (ITAT Mumbai)
The Income Tax Appellate Tribunal (ITAT) Mumbai addressed an appeal filed by Shree Swatember Murtipujak Jain Tapgachh Sangh Tiker against the Commissioner of Income Tax (Exemptions) (CIT(E)) Mumbai. The core issue was the denial of registration under Section 12AB of the Income Tax Act. The CIT(E) had denied the trust’s registration due to a clause in its trust deed: “to do all such other things as are incidental or conducive to the attainment of the above objects or any of them.” The CIT(E) interpreted this clause as an intention to utilize funds outside India, leading to the denial. During the appeal, the trust’s counsel provided an undertaking to amend the problematic objective clause to align with the Act’s provisions. Consequently, the ITAT remitted the matter back to the CIT(E) for a fresh decision. The registration will be reconsidered once the trust demonstrates that the impugned object has been duly amended. The appeal was allowed for statistical purposes, and the order was pronounced on January 13, 2025.
FULL TEXT OF THE ORDER OF ITAT MUMBAI
This appeal by the assessee is preferred against the order of the ld. CIT (Exemptions)- Mumbai [hereinafter ‘the ld. CIT(E)’] dated 26/09/2024 by which the ld. CIT(A) has denied registration u/s 12AB of the Act.
