Case Law Details
Snehatheeram Charitable Trust Vs CIT (Kerala High Court)
The recent judgment of the Kerala High Court in the case of Snehatheeram Charitable Trust vs. CIT has significant implications for nonprofit organizations seeking tax benefits under the Income Tax Act, 1961. The petitioner, aggrieved by the rejection of their application for a certificate under Sections 80G and 12A of the IT Act, filed a writ petition challenging the order.
The crux of the petitioner’s argument revolved around the submission of relevant documents in response to the notice served by the department. Despite the petitioner’s claim of having submitted all necessary documents, the impugned order cited non-compliance, leading to rejection.
However, upon scrutiny, discrepancies emerged regarding the date of document submission and the hearing date mentioned in the order. The court identified these inconsistencies as crucial errors and consequently set aside the impugned order.
By remitting the matter back to the respondent for reconsideration, the court has upheld the principles of fairness and due process.
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