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TMI Blog2024 (6) TMI 519X X X X Extracts X X X X X X X X Extracts X X X X ..... (E) has erred in rejecting the application of the Appellant Trust u/s 12AB r.w.s. 12A(1)(ac)(iii) terming the activities undertaken by the trust as not genuine. 2. In the facts and circumstances of the case, the Ld. CIT(E) has erred in cancelling the provisional registration granted to the Appellant Trust u/s 12AB r.w.s. 12A(1)(ac) (vi) dated 22/03/2022." 4. The brief facts of the case as emanating from the record are: The assessee trust has been constituted by a trust deed dated 19/11/2019. The assessee is a non-profit organisation and is registered under The Maharashtra Public Trusts Act, 1950 with the Deputy Charity Commissioner, Thane Region, Thane. The sole purpose of the trust is service to Indian cows, providing relief and aid and a quality lifestyle to Indian cows, shelters and open land areas for their natural living. Vide order dated 22/03/2022 passed in Form No.10AC, the assessee was granted provisional registration under section 12A(1)(ac)(vi) of the Act from the assessment year 2022-23 to 2024-25. 5. Subsequently, the assessee filed an application dated 30/01/2023 in Form No. 10AB under section 12A(1)(ac)(iii) of the Act. With a view to verify the genuineness of th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ell as Rule 17A(2)(k) of the Rules. Accordingly, the application filed by the assessee in Form No. 10AB under section 12A(1)(ac)(iii) of the Act was rejected and the provisional registration granted on 22/03/2022 under section 12AB read with section 12A(1)(ac)(vi) of the Act was also cancelled. Being aggrieved, the assessee is in appeal before us. 6. We have considered the submissions of both sides and perused the material available on record. It is evident from the record that in order to verify the genuineness of the activities of the assessee and compliance with requirements of any other law for the time being in force as are material for the purpose of achieving its objectives, the learned CIT(E), inter-alia, sought information pertaining to activities carried out, details of beneficiaries of activities, computation of income, etc. Since certain discrepancies were noticed, the assessee was issued the notice seeking information regarding the genuineness of his activities, the list of donations, and evidence supporting the note on activities. In response thereto, the assessee filed its submissions, which form part of the paper book. From the perusal of the details furnished by t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... es. 7. In the result, the appeal by the assessee is allowed for statistical purposes. ITA No. 3700/Mum./2023 Assessee's Appeal - A.Y. - N.A. 8. This appeal has been filed by the assessee challenging the impugned order dated 22/07/2023 passed by the learned CIT(E) in Form No.10AD rejecting the application filed by the assessee in clause (iii) of the first proviso to sub-section (5) of section 80G of the Act. In the interest of justice, the slight delay of 3 days in filing the appeal is condoned. 9. In this appeal, the assessee has raised the following grounds:- "1. In the facts and circumstances of the case, the Ld. CIT (E) has erred in rejecting the application of the Appellant Trust u/s 80G(5)(iii) stating that the Application for grant of Registration is not filed within the time limit. 2. In the facts and circumstances of the case, the Ld. CIT(E) has erred in cancelling the provisional registration granted to the Appellant Trust u/s 80G(5)(iv) dated 23/03/2022." 10. We have considered the submissions of both sides and perused the material available on record. The brief facts of the case as emanating from the record are that vide order dated 23/03/2022 passed in Form No ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on under section 80G is within time. The first proviso to section 80G(5) of the Act reads as under:- "Provided that the institution or fund referred to in clause (vi) shall make an application in the prescribed form and manner to the Principal Commissioner or Commissioner, for grant of approval,- (i) where the institution or fund is approved under clause (vi) [as it stood immediately before its amendment by the Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020], within three months from the 1st day of April, 2021; (ii) where the institution or fund is approved and the period of such approval is due to expire, at least six months prior to expiry of the said period; (iii) where the institution or fund has been provisionally approved, at least six months prior to expiry of the period of the provisional approval or within six months of commencement of its activities, whichever is earlier; (iv) in any other case, at least one month prior to commencement of the previous year relevant to the assessment year from which the said approval is sought:" 13. Therefore, as per the provisions of clause (iii) of the first proviso to section 80G(5) of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld that the Assessee Trust had applied for registration within the time allowed under the Act. Hence, the application of the assessee is valid and maintainable. 12. Even otherwise, the Provisional Approval is uptoA.Y.2025-26, and it can be cancelled by the ld.CIT(E) only on the specific violations by the assessee. However, in this case the ld.CIT(E) has not mentioned about any violation by the Assessee. Therefore, even on this ground the rejection is not sustainable." 14. In the present case, it is undisputed that the provisional approval granted to the assessee vide order dated 23/03/2022 was valid till the assessment year 2024-25. Further, the provisional approval was granted subject to certain conditions, however, the impugned order is completely silent as to the violation of any such condition. Therefore, we find no merit in the cancellation of provisional approval granted to the assessee under clause (iv) of the first proviso to section 80G(5) of the Act. Thus, respectfully following the aforesaid decision, we are of the considered view that the application filed by the assessee in Form No.10AB on 27/01/2013 is within the time limit permissible under clause (iii) of the fir ..... X X X X Extracts X X X X X X X X Extracts X X X X
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