AI Structured Summary
Not yet generated for this judgment
Judgment
PERSHRI ANUBHAV SHARMA, JUDICIAL MEMBER:
This appeal is preferred by the Assessee against the order dated 20.03.2026 of the Commissioner of Income-tax, Exemption, Chandigarh (hereinafter referred as 'Id. Prescribed authority') against the rejection of Application u/s 12AB and cancellation of registration u/s 12A(1)(ac)(ii) of the Income Tax Act, 1961 for AY: 2026-27.
On hearing both sides we find that the application of assessee in registration u/s 12A(1)(ac)(ii) of the Act has been rejected by the Id. Prescribed authority primarily drawing a conclusion that as a question of genuineness of charitable activities was examined it was found that applicant is operating “Sharbati Surgical and Maternity Home” and this activity is not backed by the stated objects. Certain other issue were raised but assesse had failed to respond and thereby ld. Prescribed authority concluded that as there is lack of credible evidence the application deserves to be rejected and registration was cancelled too.
Ld. Counsel has drawn our attention to the merits of the allegation submitting that Sharbati Surgical and Maternity Home is in exclusive ownership of Dr. Major Surat Singh Yadav and has no concern with the assesse and all the allegations are merely on the basis of presumption and assesse is primarily engaged in providing educational and charitable activities. However, the matter of fact is that this assertion requirs due evidences and submission before ld. Prescribed authority and as the same were not filed we consider it appropriate case to restore the issue on merits of the application to the files of ld. CIT(E) to give fresh opportunity of hearing to the assesse and pass order afresh. Appeal is allowed for statistical purposes.