Kishwarna Charitable Trust vs The C.I.T(E)

PER NAVEEN CHANDRA, ACCOUNTANT MEMBER:-

Both the above captioned separate appeals by the assessee are preferred against the order of the ld. CIT(E), Delhi dated 26.06.2025 rejecting the application for registration u/s 12AB(1)(b)(ii)(B) and u/s 80G of the Income-tax Act, 1961 [the Act, for short].

Since both the captioned appeals pertain to same assessee, they were heard together are disposed of by this common order for the sake of convenience and brevity. None appeared on behalf of the assessee. We decided to proceed ex-parte with the assistance of the ld DR.

Briefly stated the facts of the case are that the assessee filed Form 10AB and applied for registration u/s 12AB(1)(b)(ii) and registration u/s 80G(5)(ii)(b)(B) of the Act. The ld. CIT (Exemption) issued notices and asked to furnish several documents to which the assessee filed its reply by furnishing the documents as called for. Ultimately, the CIT (Exemption) rejected the registration applications vide order u/s 12A and 80G.

The assessee is aggrieved and has come in appeal before us. With the assistance of the ld DR, we find that the ld. CIT(E) has cryptically brushed aside the reply of the assessee and passed order without examining the objectives of the Trust. We are therefore, of the considered view that the ld. CIT(A) was not justified in rejecting the applications of the assessee for registration 12AB(1)(b)(ii) and u/s 80G of the Act on the ground that the assessee could not file the revised MoUs with the NGOs to whom the assessee has provided its premises for charitable activities.

The ld. DR relied upon the orders of the ld. CIT(E).

We have given a thoughtful consideration to the order of the CIT (Exemption). We find that the assessee has filed several documents and evidences before the CIT(E), to establish the genuineness of the activities of the trust. We are of the view that the rejection of grant of registration by ld. CIT(A) is not justified as the ld. CIT(E) has not given adequate opportunity of being heard to the assessee. Accordingly, in the interest of justice and fair play, we restore the issues to the file of the ld. CIT(E). The assessee is directed to furnish the necessary documents for verification and the ld. CIT(E) is directed to examine the same and decide the issue of registration after affording reasonable and sufficient opportunity of being heard to the assessee.

In the result, both appeals of assessee in ITA No. 4998/DEL/2025 and ITA No. 4999/DEL/2025 are allowed for statistical purposes.

The order is pronounced in the open court on 18.11.2025.