Jalandharnath Pith Trust Siremandir Jalore Vs CIT (E) (ITAT Jodhpur)
Summary: The ITAT, Jodhpur Bench disposed of consolidated appeals by charitable trusts and institutions whose applications for registration under section 12AB and, in some cases, Section 80G of Income-tax Act, 1961″ href=”https://taxguru.in/income-tax/procedure-filing-application-trust-section-80g-income-tax-act-1961.html” target=”_blank” rel=”noopener”>approval under section 80G had been rejected by the Commissioner of Income Tax (Exemption). The Tribunal condoned the explained delays in filing the appeals, including the 734-day delay shown for the first listed trust. It grouped the rejection grounds by the deficiency identified in each order: absence of registration under the Rajasthan Public Trust Act, registration under that Act still in process, insufficient proof of genuine activities, defects in Form No. 10AB or the clause selected, non-compliance with notices, and consequential refusal of section 80G approval.
Where Rajasthan public trust registration had since been granted, the CIT(E) must verify the certificate and the surviving statutory requirements; the remand must correspond to the grounds actually recorded. Where an application for State registration remains pending, the institution must have a reasonable opportunity to produce the certificate when issued. Where genuineness was questioned for lack of evidence, the CIT(E) must examine the activities and supporting material and confront any proposed adverse material to the assessee. Curable form defects may be rectified subject to statutory limits, and institutions that failed to comply with notices receive a final effective opportunity to submit the required material.
