Sau Dwarkabai Tai Karwa Charitable Public Trust Vs CIT (Bombay High Court)
Bombay High Court has set aside an order by the Commissioner of Income Tax (Exemption), Pune at Nashik, and condoned the delay in filing Form-10B for the Assessment Year 2021-2022 by Sau Dwarkabai Tai Karwa Charitable Public Trust. The High Court’s decision, delivered on August 8, 2024, emphasized a pragmatic approach, considering the trust’s past compliance record, the prevailing COVID-19 pandemic conditions, and the absence of any mala fide intent or undue advantage gained from the delay.
The petitioner, a charitable trust registered under Section 12A of the Income Tax Act, 1961, since December 12, 2003, filed its income tax returns for the Assessment Year 2021-2022 on January 12, 2022. Two days prior, on January 10, 2022, the trust had also submitted the necessary Form-10B for the same assessment year.
However, a procedural lapse occurred when Form-10, a crucial document for charitable trusts, was not filed concurrently with the income tax return. The issue came to light after the trust received an intimation under Section 143(1) of the IT Act on September 14, 2022. Subsequently, the trust filed Form-10 on November 12, 2022, which was after the prescribed deadline.
