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2024 (5) TMI 708 - PUNJAB AND HARYANA HIGH COURTPower of Commissioner to cancel or withdraw registration invoking Section 12AA (3) - HELD THAT:- ITAT has held the order passed by the CIT cancelling the registration on 02.03.2010 to be without jurisdiction and without authority in law. It has stated so as the amendment was made in Section 12AA (3) by the Finance Act of 2010 empowering the Commissioner to cancel the registration granted u/s 12A where it reaches to a conclusion that the activities of the such trust are not genuine and not being carried out in accordance with the objects of the trust or institution. The power was, therefore, not available as on the day when the CIT cancelled the registration i.e. on 02.03.2010. We find that the facts were almost similar to the facts of the present case as in the aforesaid case Industrial Infrastructure Development Corporation (Gwalior) M.P. Limited’s case [2018 (2) TMI 1220 - SUPREME COURT] the Commission had cancelled the registration u/s 12A dated 13.04.1991 by its order dated 29.04.2002 and on 29.04.2002 the Commissioner was not empowered to cancel such registration. In view thereof, the questions answered in favour of the assessee. Power of cancellation of registration granted u/s 12A is required to be examined in law of the recent judgment in New Noble Educational Society [2022 (10) TMI 855 - SUPREME COURT] After having considered the entire law with reference to Section 10 (23C)(vi) of the Act as well as Section 11 (4A) of the Act and the law as examined in Pinegrove [2010 (1) TMI 49 - HIGH COURT OF PUNJAB AND HARYANA AT] and Queen’s Educational Society’s cases [2015 (3) TMI 619 - SUPREME COURT] - We find that the Commissioner was required to examine the aforesaid factors while granting approval of registration u/s 10(23C) - In the opinion of this Court, the same factors would also be required to be considered for the cancellation of registration already granted to the educational institutions, while examining the case u/s 12AA, of course, taking into consideration the conditions provided therein also.
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