Bombay Diocesan Trust Association Private Limited Vs CIT (Exemptions) (Bombay High Court)
The writ petition concerned the rejection of an application filed by the petitioner trust under Section 119(2)(b) of the Income Tax Act, 1961, seeking condonation of delay in filing returns, declarations, statements of accounts, reports, and necessary forms for Assessment Years (AYs) 2012-13 to 2017-18. The respondent rejected the application only for AY 2016-17, even though the application covered six assessment years. The Bombay High Court examined the factual background that led to the non-filing of returns and related documents during this period.
According to the petition, long-standing disputes among the trustees had arisen since October 2010 relating to the alleged illegal sale of one of the trust’s properties. As a result, proceedings under Section 41D of the Maharashtra Public Trusts Act, 1950 (MPT Act) were initiated before the Joint Charity Commissioner. On 17 December 2012, the Joint Charity Commissioner passed an order removing the then existing trustees and appointing an administrator to manage the trust. Shortly thereafter, on 21 December 2012, the trust’s boardroom and all its records were sealed by order of the same authority. With the trustees removed and the administrator in control, the affairs of the petitioner trust remained under the supervision of the Charity Commissioner from December 2012 onwards.
