International Society for Krishna Consciousness Vs CIT (Exemptions) (ITAT Mumbai)
Summary: The Mumbai Bench of the Income Tax Appellate Tribunal considered two appeals filed by International Society for Krishna Consciousness (ISKCON) against separate orders dated 30.03.2026 passed by the Commissioner of Income-tax (Exemptions), Mumbai, rejecting its applications for renewal of registration under section 12AB and approval under section 80G. The Tribunal treated the section 80G appeal as consequential to the section 12AB appeal and therefore first adjudicated the registration issue.
ISKCON had been registered as a charitable institution under section 12A since 11.06.1975 and had enjoyed section 80G approval since 16.01.1971. The Tribunal recorded that its objects and activities had not undergone change and that it operates more than 270 centres across India. Its activities include free food distribution, education, yoga, medical relief, environmental projects, maintenance of goshalas, agricultural and rural-development work, devotional publications, broadcasting and accommodation for spiritual seekers.
The CIT(E) treated activities including meditation camps, scriptural courses, devotional books and articles, satvik food distribution, broadcasting and royalty, agriculture and farm operations, and accommodation as falling within the residuary limb of section 2(15), namely advancement of any other object of general public utility. He consequently invoked the proviso to section 2(15), relied upon selected data from the ISKCON Juhu centre, and computed aggregate receipts treated as commercial at 43.81%, 47.72% and 46.61% of total receipts for FYs 2022-23, 2023-24 and 2024-25 respectively. He also treated the presentation of net rather than gross receipts in parts of the financial statements as a specified violation under Explanation (g) to section 12AB(4). The Tribunal also noted the assessee’s contention that the show-cause notice dated 21.03.2026 was issued after the CIT(E) had already recorded a prima facie conclusion against it and allowed only ten days for furnishing details covering five years.
