Ashoka University Vs CIT (ITAT Chandigarh)
The appeals were filed by the assessee against separate orders dated 24.03.2026 passed by the Commissioner of Income Tax (Exemptions), Chandigarh, rejecting its application for registration under Section 12AB and its application for approval under Section 80G(5) of the Income-tax Act, 1961. The Tribunal disposed of both appeals through a consolidated order.
The assessee, a university established under the Haryana Private Universities Act, 2006 and engaged in imparting higher education, had already been granted registration under Section 12AB and had applied in Form No. 10AB for renewal/continuation of registration. During the proceedings, the CIT(E) sought details regarding the University’s activities, financial statements, donations received through its sponsoring body, International Foundation for Research and Education (IFRE), foreign contributions, and compliance with the Haryana Private Universities Act, 2006 and the Foreign Contribution (Regulation) Act, 2010 (FCRA).
The CIT(E) rejected the application principally on the grounds of alleged violations of the Haryana Private Universities Act arising from collection and retention of donations by IFRE, alleged loss of the University’s independent financial and operational character due to IFRE’s control, alleged FCRA violations concerning foreign contributions received by IFRE for the “Ashoka University Project,” discrepancies in financial statements and fund flows between the University and IFRE, and alleged incorrect recognition of income and lack of transparency in financial affairs. The CIT(E) also made observations that the earlier registration stood cancelled or superseded.
