Gram Seva Samaj Vankal Vs CIT (Exemption) (ITAT Ahmedabad)
The ITAT Ahmedabad has granted Gram Seva Samaj Vankal, a rural trust, a second opportunity to obtain tax benefits under Section 80G of the Income Tax Act, 1961. The trust’s initial application was rejected by the Commissioner of Income Tax (Exemption) because it failed to respond to official notices or provide required documents. The trust explained that its non-compliance was unintentional due to its lack of experience with the online tax portal and procedures. Acknowledging this, the ITAT found the explanation to be genuine and condoned the 115-day delay in filing the appeal.
In its decision, the tribunal also noted that the Commissioner had failed to consider that the trust already held valid registration under Section 12A(1), a relevant fact for an 80G application. Citing the principle of natural justice, the ITAT set aside the Commissioner’s order and sent the matter back for a fresh review. The Commissioner is now required to give the trust a proper hearing and issue a new, reasoned order that considers all relevant facts, including its existing 12A(1) registration.
FULL TEXT OF THE ORDER OF ITAT AHMEDABAD
This appeal has been filed by the Assessee against the order passed by the Ld. Commissioner of Income Tax (Exemption), (in short “Ld. CIT(E)”), Ahmedabad vide order dated 21.11.2024.
