TaxTMI 
TaxTMI 
2014 (4) TMI 848
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.... registration under Section 12A of the Income Tax Act which came to be rejected on 15.01.2009. According to the appellant, the said order was unsustainable; therefore, he preferred an appeal before the Appellate Tribunal. Aggrieved by the order of Tribunal, the appellant is before us. 2. The main contention of the appellant is, the authorities while considering or processing the application for registration under Section 12A of the Act are not entitled to examine the said application with reference to Section 13(1)(b) of the Income Tax Act. Therefore, the reasoning for the orders of Commissioner as well as Tribunal is unsustainable. He also relies upon the following three decisions of various High Courts to substantiate his arguments. Fi....
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....intention of the trust is only to extend benefits to a particular religious minority, therefore, there was justification in rejecting the application of the assessee. 5. He further contends, issuance of registration under Section 12A is mandatory, if anyone intends to seek exemption under Section 11 of the Act. Then Section 13 refers to conditions which have to be looked into while granting exemption of tax under Section 11 of the Act. Therefore, unless the activities undertaken by applicant indicate that the activities are meant for general public without reference to any particular religious group, no registration certificate could be issued. As the very rejection of application is with reference to Clauses in the document, appeal dese....
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.... other backward classes in Tellicherry Municipality and its suburbs. 9. If the object of the trust was to help all backward classes as contended by appellant, we fail to understand why financially poor minority were included. If their intention were to extend the benefit to all poor minorities as indicated in the orders of the Tribunal, the minorities have to be with reference to minorities as declared by the Central Government. Though it refers to minorities, the trust does not further clarify whether it is religious minority, linguistic minority or cultural minority. 10. We are unable to understand what exactly is the object and aim of the trust in mentioning minorities and backward classes of Tellicherry Municipality and its suburb....
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....done, it would not be proper for the authorities to blindly grant registration under Section 12A to every other applicant. As long as 12A registration is in existence, the assessee can claim the benefit. Without 12A registration, even if the assesee were to spend money on charitable activities, they are not entitled for the benefit. Therefore, registration under Section 12A is like an entry document to secure exemption. Hence, registration is a relevant process which has to be carefully exercised by the authority concerned. It is always Commissioner who process the applications for registration under Section 12A and it is not entrusted to any other officer below the rank of a Commissioner of Income Tax. 12. The observation of the authori....