TaxTMI 
TaxTMI 
2025 (7) TMI 597
X X X X Extracts X X X X
X X X X Extracts X X X X
....ies from 2007, therefore it is impossible to file the application u/s 80G(5)(iii) of the act, "within six months of commencement of activities" as stated in above clause (iii) of 3rd proviso of section 80G(5) of the Act, and hence the order passed by the learned Commissioner of Income Tax ( Exemption) is bad in law and contrary to the provisions of law and facts. 2. Under the Facts, Circumstances and legal position of the case, the learned Commissioner of Income Tax (Exemption) has erred in rejecting the application filed by the Appellant Trust on the grounds that "religious trusts are not eligible under u/s 80G(5), which is incorrect and unlawful as appellant assessee is registered as Charitable & religious trust and not only as religious trust. 3. Under the Facts, Circumstances and legal position of the case, the learned Commissioner of Income Tax (Exemption) has erred in rejecting the application filed by the Appellant Trust on the grounds that "expenditure incurred for religious purpose", which is again incorrect and unlawful as appellant assessee has duly explained that it has never incurred any expenditure on religious activity since its inception.'' 2.1 ....
X X X X Extracts X X X X
X X X X Extracts X X X X
..... 7. That it is a settled principle of taw that technicalities should not come in the way of rendering substantial justice. The appellant humbly prays that this Hon'ble Tribunal may kindly condone the delay in filing the appeal in the interest of justice and equity. Prayer In light of the above facts and circumstances stated above, the appellant respectfully prays that this Hon'ble Tribunal may:- * Condone the delay in filing the appeal; and * Allow the appellant to proceed with the appeal against the order of rejection dated 26-06-2023 To support the submission as to condonation of delay, the appellant has filed his affidavit as well as the affidavit of then Counsel Shri Nikhil Agarwal, CA 2.2 On the other hand, the ld.DR did not controvert the facts stated in the application for condonation of delay. 2.3 We have heard both the parties and perused the materials available on record including the affidavit of assessee and then counsel Shri Nikhil Agarwal, CA. In this case, the Bench in nutshell noted that there is sufficient cause in not timely filing the appeal of the assessee and there is merit in the application of t....
X X X X Extracts X X X X
X X X X Extracts X X X X
....strates that the Appellant's charitable activities have been pursued continuously since its creation. This document directly supports the Appellant's claim of a long-standing track record in furtherance of its charitable objectives, thereby underscoring the continuity and bona fides of its activities from the very beginning. 7. Rent Agreement (Annexure 2): The Rent Agreement dated 01.11.2019 pertains to a property rented by the Appellant trust for carrying out its activities. This agreement is highly relevant as it evidences the nature and use of the premises in furtherance of the trust's charitable purposes. It confirms that the Appellant maintains dedicated premises for its operations and that these premises are actively utilized in alignment with the trust's stated objectives. The existence of a formal lease since November 2019 reinforces the fact that the trust has been actively undertaking its charitable programs on the rented premises, in accordance with its objects. 8. Both of the above documents go to the root of the matter in the present appeal. They provide substantive proof of the Appellant's genuine charitable status and ongoing ope....
X X X X Extracts X X X X
X X X X Extracts X X X X
....39;s establishment of activities and its application for approval. The evidence now sought to be adduced will assist in establishing that while there may have been a delay in the formal application under section 80G, such delay did not stem from any absence of activity or lack of charitable intent. On the contrary, the trust has been active all along, and this fact becomes abundantly evident once the Trust Deed and Rent Agreement are taken into account. 12.In view of the above, the Appellant submits that the conditions for invoking Rule 29 of the ITAT Rules are fulfilled in the present case. The documents in question are necessary "to enable the Tribunal to pass orders" on a fully Informed basis and constitute evidence of critical importance in other words, a substantial cause exists for their admission. Additionally, to the extent that the lower authority's decision may have been rendered without the benefit of these materials, the Appellant pleads that it be given sufficient opportunity at this appellate stage to bring them on record. No prejudice will be caused to the Respondent by the admission of this evidence; on the contrary, receiving these documents into the r....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ls out of the scope of Section 80G. Thus, in view of provisions of Section 80G(5), as discussed earlier, applicant is not eligible for registration u/s 80G(5). * Expenditure incurred for religious purposes.(Para 4.3.....The reply of the applicant has not found tenable. The applicant has failed to establish that it has not incurred religious expenditure as a charitable institution. In view of the above discussion, it is clear that assessee is making huge expenditure of religious nature ad violating Section 80G(5)(ii) and sub-section (5B) of Section 80G of the Act. Therefore, the assessee is eligible for approval u/s 80G. 4.2 As regards the commencement of the activities, the assessee trust is engaged in the charitable activities since 2007 and thereby doing the activities. As regards the trust religious or not ld. AR of the assessee relied upon page 35 of the paper book wherein the application made was available. In that application vide 27a. Column the assessee against the question "27a Whether the fund or the institution has incurred any expenditure of religious nature? Against that the assessee stated NO. But inadvertently when the reporting in column 27b. provided th....