The Income Tax Appellate Tribunal (ITAT) Surat Bench directed readjudication for granting recognition under section Income Tax Act and held that without completing registration recognition under Section 80G not granted.
Akhil Hind Mahila Parishad, the taxpayer filed the appeal against the order of orders passed by the Commissioner of Income-Tax (Appeals) on rejected the application of the assessee-trusts for recognition under section 80G of the Income Tax Act, 1961.
Before the tribunal, Hiren R Vepari, the Counsel for the assessee submitted that the CIT(Exemption) rejected the application under Section 12AB Income Tax Act for registration of trusts.
However, the matter relating to registration under Section 12AB of the Income Tax Act, has been remitted back by this Tribunal, to the file of CIT(Exemption), to grant the registration in accordance with law.
Since the Tribunal has remitted the matter back to the file of CIT(Exemption) for granting registration under Section 12AB of the Income Tax Act in accordance with law therefore these appeals relating to recognition under Section 80G of the Income Tax Act should also be remitted back to the file of CIT(Exemption) to grant recognition under Section 80G of the Income Tax Act, after granting the registration under Section 12AB of the Income Tax Act.
Ashok B. Koli, Counsel for Revenue, agreed with the submision of assesee counsel.
The tribunal that the these four assessee-trusts. Also, the same tribunal has remitted the matter relating to registration under Section 12AB of the Income Tax Act to the file of the CIT(Exemption), with the direction to grant the registration in accordance with law.
Thus, in order to grant recognition under section 80G of the Act, the assessee-trust should be registered under Section 12AB of the Income Tax Act.
Therefore, all these four appeals of different assessee-trusts, relating to recognition under Section 80G of the Income Tax Act, couldnot be adjudicated by the tribunal, as the issue relating to registration under Section 12AB of the Income Tax Act, has been remitted back by this Tribunal, to the file of CIT(Exemption).
After eviewing the facts and submissions of the both parties the two member bench of A.L.Saini(account member) and Pawan Singh, (Judicial Member) the file remitted back to CIT(exemption) to grant recognition under Section 80G of the Income Tax Act in accordance with law.
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