Vir Savarkar Shishan & Seva Sanshtha Vs CIT (ITAT Ahmedabad)
Ahmedabad ITAT Restores Section 12AB and 80G Applications Rejected Due to Selection of Wrong Provision Without Opportunity of Hearing
Summary: The assessee filed two appeals against separate orders of the Commissioner of Income-Tax (Exemption), Ahmedabad [CIT(E)], rejecting its applications for registration under Section 12A/12AB and approval under Section 80G of the Income Tax Act, 1961.
In ITA No.369/AHD/2026, the application in Form No.10AB under Section 12A(1)(ac) was rejected because the assessee had selected Section 12A(1)(ac)(ii), whereas it contended that the application was intended to be filed under Section 12A(1)(ac)(iii). The assessee submitted that the incorrect provision was selected inadvertently while electronically filing the prescribed form and that it was not given notice of the defect or an opportunity of being heard. The Ahmedabad ITAT considered the rival submissions and held that, in the circumstances, the assessee should be granted another opportunity. It therefore set aside the CIT(E)’s order and restored the application to its original number, directing the CIT(E) either to treat it as an application under Section 12A(1)(ac)(iii) or permit the assessee to file a rectified application. The CIT(E) was left at liberty to decide the application on merits as per law after providing an opportunity to make submissions and furnish documents/details. The assessee’s rights and contentions were left open.
