Section 12AB - Procedure for fresh registration

Registration of charitable trusts: fixed term or provisional recognition granted subject to verification and cancellation for specified violations.

Section 12AB prescribes that the Principal Commissioner or Commissioner shall register or provisionally register trusts and institutions after calling for documents and making inquiries necessary to satisfy himself about the genuineness of activities and compliance with other laws. Time limits apply for passing orders, pending applications are treated under the designated sub clause, and qualifying low income entities may receive extended registration terms. The officer may subsequently review and, after a hearing, cancel or refuse to cancel registration where specified violations (including misapplication of funds, non incidental business income without separate books, non public benefit religious application, non genuine activity, non compliance with other laws, or false information) are alleged, with orders communicated to the Assessing Officer and the trust.