Indishine Foundation Vs CIT (ITAT Hyderabad)
M/s. Indishine Foundation, a company registered under Section 8 of the Companies Act, 2013, filed an application on 16.09.2024 seeking approval under Section 80G of the Income Tax Act, 1961. The Commissioner of Income Tax (Exemptions), Hyderabad, rejected the application on 19.03.2025, holding that the assessee’s activities were not aligned with its stated objectives and did not meet the conditions under Section 80G. The assessee challenged this rejection before the ITAT, arguing that it had fully complied with two notices issued on 03.12.2024 and 17.02.2025 and submitted all required documents. The assessee contended that the CIT(E) passed a non-speaking order without identifying any specific deficiency and highlighted that the same authority had granted registration under Section 12AB on 22.03.2025, confirming the genuineness of its activities.
The Departmental Representative supported the original order but admitted that it was cryptic and did not record any specific findings on deficiencies or non-compliance. The ITAT examined the submissions and documents and found that the rejection under Section 80G was non-speaking and legally unsustainable. Considering that registration under Section 12AB had already been granted, the Tribunal held that the assessee’s activities could not be deemed deficient without proper evaluation.
