The Income Tax Appellate Tribunal Ahmedabad directed the Commissioner of Income Tax (Exemption) to reevaluate the application for approval with consideration of affidavit and opportunity for hearing.


The assessee is a Trust having registration u/s. 12A of the Income Tax Act vide order dated 21-03- 2023. The Assessee also made an application for registration u/s. 80G(5) of the Act by filing Form 10AD on 26-09-2022.  

CIT(E) issued a notice on 12-12-2022 sent through ITBA on the e-mail address given by the assessee to furnish detailed note on the activities actually carried out by the Trust as well as certain details and documents mentioned therein.


Advocate Hardik Vora appearing for the assessee submitted a Paper Book which carries various details and the notices issued by CIT(E), reply filed by the assessee and also registration granted u/s. 12A of the Act dated 21.03.2023 and Affidavit explaining the mistakes in Form 10AB of the Act.


The division bench of Annapurna Gupta, Accountant Member and T.R. Senthil Kumar, Judicial Member found that CIT(E) has not considered the Affidavit filed by the assessee explaining the mistake in Form 10AD of the Act. 

The bench opined that non-consideration of the reply and the Affidavit thereon is clear violation of Principle of Natural Justice. 

Therefore in the interest of fair play and justice, the Tribunal thought it is a fit case to set aside the matter back to the file of CIT(E) with a direction to consider the Affidavit filed by the assessee and call for any further explanation thereon and decide the application for approval filed in Form 10AD of the I.T. Rule and also by affording opportunity of hearing to the assessee.

Case title: Tapovan Youth Alumni Group Trust v/s The Commissioner of Income Tax (Exemption)

Citation: ITA No. 205/Ahd/2023

Amit Sharma

Author of Tax Concept

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