Comprehensive Blood And Cancer Care Foundation Vs PCIT (ITAT Ahmedabad)
In Comprehensive Blood and Cancer Care Foundation vs. PCIT, the Income Tax Appellate Tribunal (ITAT) Ahmedabad dismissed the foundation’s appeal as infructuous, given that it had filed a fresh application for Section 80G approval with the Commissioner of Income Tax (Exemption) [CIT(E)]. The foundation initially appealed against the CIT(E)’s order rejecting its application for Section 80G(5)(iii) approval, citing procedural shortcomings. Specifically, the foundation claimed that the CIT(E) failed to issue a show-cause notice before rejecting the application, thereby violating principles of natural justice. Additionally, the CIT(E) dismissed the application on the grounds of late submission beyond the six-month timeframe from commencement of activities, which rendered the application non-maintainable.
The ITAT acknowledged that the appeal was technically time-barred by two days but condoned this delay due to its minimal impact. However, in light of Circular No. 07/2024 from the Central Board of Direct Taxes (CBDT), which allowed certain adjustments, the foundation subsequently filed a new application with the CIT(E). As a result, the ITAT determined the appeal had become moot since the foundation’s issues were now being addressed under the fresh application. Consequently, the appeal was dismissed, and the ITAT instructed the CIT(E) to review the new application in line with the merits of the case and the latest regulatory provisions.
