Vidyasanmatidas Seva Sanstha Vs CIT (Exemption) (ITAT Pune)
The assessee filed an appeal before the Income Tax Appellate Tribunal (ITAT) Pune against the order of the Commissioner of Income Tax (Exemption), Pune passed under Section 80G(5) of the Income Tax Act, 1961, dated 16.09.2025. The assessee raised grounds that the rejection of its application for registration under Section 80G(5) solely on the basis of delay in filing Form 10AB was against the provisions and scheme of the Act. It requested that the delay be condoned and that approval under Section 80G(5) be granted. The assessee further argued that the CIT(E) erred in rejecting the application without properly examining the documents and submissions, particularly since the assessee’s simultaneous application for registration under Section 12AB had been accepted. The assessee sought appropriate relief and reserved the right to amend or add grounds.
The Tribunal heard both parties and examined the records. The CIT(E) had rejected the assessee’s application dated 28.02.2025 in Form 10AB under clause (iii) of the first proviso to Section 80G(5), holding that the application was not filed within the time limit prescribed. The CIT(E) rejected the application without considering its merits.
The Tribunal noted that identical issues had been considered by the ITAT Chennai Bench in Mother Leela Trust Vs. CIT(E) (ITA No.1408/CHNY/2025). In that decision, the Tribunal observed that consistent Tribunal views held that, considering the amendment by the Finance Bill 2024, applications filed under Section 80G(5) after the due date could still be considered under Section 80G(5)(iv). It was also noted in that decision that timelines under Section 80G(5) were directory in nature, and therefore rejection solely for delay was a technical approach. The Chennai Bench held that delayed applications should be treated as filed under clause (iv) of the first proviso to Section 80G and should be decided in accordance with law after granting an opportunity of hearing.
