Society on Promotion Vs CIT (Exemption) (ITAT Delhi)
ITAT Delhi held that order rejecting of application in Form No. 10 for registration u/s. 12A(1)(ac)(iii) of the Income Tax Act without verifying the seminar and conference expenses and also TDS deduction by donor cannot be sustained. Accordingly, order set aside to the file of CIT(E) for fresh order.
Facts- The present appeals by the assessee are directed against the order of Commissioner of Income Tax-(Exemption), Delhi rejecting the application filed by the assessee in Form 10AB seeking approval u/s 80G(5)(iii) of the IT Act 1961 and rejecting the application filed in for No. 10AB for grant of registration u/s 12A (1) (ac)(iii) of the Act respectively.
Conclusion- Hon’ble Delhi High Court in the case of the Aroh Foundation vs. CIT (Exemption) held that TDS by donor under some mis-conception could not disentitle the assessee to claim benefit u/s 11 and 12 of the Act unless the case of the assessee is specifically hit by the proviso -2 section 2 (15) of the Act.
Held by the assessee and assessee’s claim on medical relief expenditure and donation to similar trust as per the details submitted in the written submission and the paper book has also not been examined by the ld. CIT(E), which requires factual verification by the Ld. CIT(E). Therefore, we are of the considered view that the order of the ld. CIT(E) dated 29.08.2024 rejecting the application of the assessee in Form No. 10 for grant of registration u/s 12A(1)(ac)(iii) cannot be sustained and the same is set aside to his file to pass a fresh order after giving a reasonable opportunity of being heard to the assessee and also keeping in view the above observations as made above and as per law.
