Technical defects in registration forms must be curable when no opportunity to rectify is given and substance prevails over form.

An application for final registration under section 12AB was rejected because Form 10AB carried an incorrect section code, but the defect was treated as technical and curable since it was neither deliberate nor shown to involve wrongful intent. As no opportunity was given to rectify the mistake before rejection, the action was considered inconsistent with natural justice. The substance of the application was held to prevail over the incorrect clause reference, and the rejection order was set aside with the matter remanded for fresh consideration after allowing rectification.

---

---

Issues: Whether rejection of the assessee's application for final registration under section 12AB of the Income-tax Act, 1961 for a technical mistake in the form, without granting an opportunity to rectify the error, was sustainable.

Analysis: The assessee's application was rejected on account of an incorrect section code in Form 10AB. The error was not found to be deliberate or made with any wrongful intent. The record showed that no opportunity had been afforded to correct the mistake before rejection. In these circumstances, the defect was treated as technical and curable, and the decision was held to offend the principles of natural justice. The substance of the application was regarded as more important than the form or incorrect clause reference.

Conclusion: The rejection order was set aside and the matter was remanded to the CIT(E) for fresh consideration on a de novo basis after permitting rectification of the mistake.

---