While granting registration u/s 12AA of the IT Act, CIT(E) must only see the objects of the trust/society

IN THE INCOME TAX APPELLATE TRIBUNAL
 DELHI BENCH ‘C’: NEW DELHI
 (Through Video Conferencing)
 
BEFORE,
 SHRI SUDHANSHU SRIVASTAVA, JUDICIAL MEMBER
 AND
 SHRI PRASHANT MAHARISHI, ACCOUNTANT MEMBER

 I.T.A No.122/Del/2021
 (ASSESSMENT YEAR-Nil)

Hanumatdham Vidhyapeeth
Nyas ,Sukartal Morna,
Muzaffarnagar-251316
(U.P.) 
PAN–AACTH 0016M
(Appellant) 

Vs.

CIT (Exemption),
Lucknow
(Respondent)

Appellant By Sh. Anil Kumar Jain, Adv.
Respondent by Ms. Sunita Singh, CIT- DR

Date of Hearing 13.07.2021
Date of Pronouncement 13.07.2021

ORDER

 PER SUDHANSHU SRIVASTAVA, JM:

 This appeal is preferred by the assessee against order dated 09.12.2020 passed by the Learned Commissioner of Income Tax (Exemption)-Lucknow {CIT(E)} wherein vide the impugned order the Ld. CIT(E) has rejected the assessee’s application for grant of registration u/s 12AA of the Income Tax Act, 1961 (herein after called ‘the Act’).

2.0 The following grounds have been raised by the assessee/appellant.

“1. The Ld. CIT has erred in rejecting the registration ofthe Trust u/s 12AA in spite of furnishing of desired information.

2. The Ld. CIT has erred in observing that there is not sufficient material to prove activities of the Trust.

3. The order of Ld. CIT is against law and facts of case.

4. The appellant craves the right to add, amend or withdraw any grounds of appeal at the time of hearing.”

3.0 The Ld. Authorized Representative (AR) submitted that the assessee’s application for registration u/s 12AA of the Act was rejected on the ground that the assessee had failed to produce any material which could have provided an insight into the activities of the applicant. He drew our attention to paragraph-3 of theimpugned order and submitted that the dismissal of the assessee’sapplication was bad in law as it was incumbent upon the Ld. CIT(E)to examine only the genuineness of the objects of the trust at the  stage of considering the assessee’s application for grant of registration and not dismiss the assessee’s application on the ground that charitable activities have not been carried out by the assessee so far. 

To know more in details find the attachment file