Navjyoti Education Society Matri Bhaban Vs CIT(Exemptions) (ITAT Kolkata)
The Income Tax Appellate Tribunal (ITAT), Kolkata bench, has remanded the case of Navjyoti Education Society Matri Bhaban back to the Commissioner of Income Tax (Exemptions) [CIT(E)] for fresh reconsideration of its application for definitive approval under Section 80G(5)(iii) of the Income Tax Act. The Trust had initially been granted provisional 80G approval until Assessment Year (A.Y.) 2024-25. Subsequently, it filed the required application in Form 10AB on January 16, 2023.
The CIT(E) rejected the application, deeming it non-maintainable because it was filed after the stipulated due date of September 30, 2022, as per CBDT Circular No. 8/2022. The CIT(E) noted that a subsequent circular extending other deadlines (Circular No. 6/2023) did not apply to this specific provision.
However, during the appeal before the ITAT, the Trust’s representative cited a more recent CBDT Circular No. 7/2024, dated April 25, 2024, which extended the due date for the Section 80G(5)(iii) application to June 30, 2024. The Trust contended that since its initial application in Form 10AB was already submitted, the online system prevented the filing of a fresh application within the newly extended timeframe.
Considering the subsequent extension of the deadline via Circular No. 7/2024 and the issues raised regarding the submission platform, the ITAT, in the interest of justice and fairness, directed the CIT(E) to re-examine the Trust’s existing application afresh. Consequently, the appeal was allowed for statistical purposes.
