The Delhi bench of the Income Tax Appellate Tribunal (ITAT) held that the re-application is allowed when an application for registration under Section 12A(1)(ac) of the Income Tax Act, 1961 has been wrongly submitted.
The Assessee, Arya Samaj e-filed an application for registration under Section 12A(1)(ac) of the Income Tax Act, but while selecting Form 10A, the Assessee wrongly selected Form 10AB.
The Commissioner of Income Tax (Exemption) [CIT (E)] while considering the application filed by the assessee under Section 12A(1)(a) of the Income Tax Act, rejected the same for wrongly uploading the Form.
The counsel for the assessee filed a written submission and submitted that the assessee inadvertently clicked and selected Form No. 10AB instead of Form No. 10A which resulted in the rejection of the Application. The Assessee is legally entitled to re-registration as per the provision of Section 12A(1)(ac) of the Income Tax Act.
The Departmental Representative submitted that though the uploading of Form 10AB instead of 10A is an error of the assessee, the same cannot be rectified by the Commissioner of Income Tax (Exemption) [CIT (E)], therefore, it justified the action of the Commissioner of Income Tax (Exemption) [CIT (E)] in rejecting the application filed under Section 12A(1)(ac) of the Income Tax Act.
The dispute is that the assessee had submitted an online application for registration under Section 12A(1)(ac) of the Income Tax Act, but due to an inadvertent mistake, the assessee selected Form 10B instead except Form 10A which ultimately resulted in the rejection of the application by the Commissioner of Income Tax (Exemption) [CIT (E)].
Further, it is also found that the assessee had filed signed Form 10A along with the submission wherein he submitted that it was a bonafide mistake on the part of the assessee in selecting Form 10AB instead of Form 10A and requested to accept the Form 10A.
The two-bench member comprising of Anil Chaturvedi (Accountant member) and Yogesh Kumar U.S. (Judicial member) held that it is fit to condone the delay and permit the assessee to file a fresh Form 10A within a period of 30 days from the date of the order and if such Form 10A is filed, the Commissioner of Income Tax (Exemption) [CIT (E)] shall consider the same on merit and decide the application filed under Section 12A(1)(ac) in accordance with law.
Thus, the appeal of the assessee is partly allowed for statistical purposes.
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