TaxTMI 
TaxTMI 
2025 (12) TMI 962
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....4 there is a delay of 11 days in filing of this appeal before the Tribunal for which the assessee has filed an application for condonation of delay along with affidavit explaining the reasons for such delay. On perusal of the same, we are satisfied that the delay in filing of appeal is not intentional or deliberate but has occurred for the reasons mentioned in the affidavit and thus attributable to the sufficient cause. We, therefore, in light of the decisions of the Hon'ble Supreme Court in the case of Collector, Land Acquisition vs. Mst. Katiji & Ors. (1987) 167 ITR 471 (SC) and in the case of Inder Singh Vs. The State of Madhya Pradesh reported in 2025 LiveLaw (SC) 339, condone the said delay and proceed to decide the appeal. 4. In ITA No.2612/PUN/2024, the assessee has challenged the order of the Ld. CIT (E) in rejecting the application for registration u/s 12A of the Act while ITA No.2613/PUN/2024 relates to the order of the Ld. CIT(E) in denying the approval u/s 80G of the Act. 5. Facts of the case in ITA No.2612/PUN/2024, in brief, are that the assessee filed an application in Form No.10AB on 23.03.2024 for registration of the trust under clause (iii) of section 12....
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....rom donors. (iv) Furnish copies of bill/invoices of expenses done on activities as shown in your financial statement. (v) It is seen that some of the objects of the trust are for the benefit of a particular community viz Jain Kasar community and not for the people at large." 5.1 The assessee furnished its reply to the above discrepancies on 19.08.2024. After considering the submissions of the assessee, the Ld. CIT(E) proceeded to pass the impugned order rejecting the application of the assessee and also cancelling the provisional registration granted earlier by observing as under : "6. The assessee responded to the said notice on 19/08/2024. It has been observed that majority of the objects and the activities are aimed at extending benefits only to a specific community viz "Jain Kasar Samaj" and not for the people at large. the same is specifically mentioned in its reply that the development and progress of this particular cast as its primary objects. It is seen that the trust has done very minimal charitable activity. Though the trust deed speaks of numerous charitable objects, hardly any of them have been carried out. No credible evidence like bills/....
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....o grant approval u/s 80G of the Act as well. 9. Referring to para 6 of the Ld. CIT(E)'s order, the Ld. DR submitted that the Ld. CIT(E) has rejected the assessee's application for registration u/s 12A of the Act mainly for the reason that majority of the objects of the assessee trust and the activities of the trust are carried out for specific community i.e. Jain Kasar Samaj and not for the public at large. The assessee has not placed any cogent material/evidence on record to prove that the activities of the trust are not confined for the benefit of a particular community. Relying on the decisions of the Ahmedabad Bench of the Tribunal in the case of Shri Soudharma Brihad Tapogachchiya Tristutik Jain Sangha Samarpanam Vs. CIT (Exemption) in ITA No. 1571/Ahd/2024, dated 03.01.2025 and in the case of Sanand Jamaliya Patidar Panch Vs. CIT (Exemption) (2025) 177 taxmann.com 113, the Ld. DR submitted that the impugned issue is covered in favour of the Revenue wherein it has been held that where the objects of the trust are confined to benefit of members of a particular community and not for the benefit of public at large, the trust would not be entitled for registration u/s 12AB of t....
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.... occurrence or otherwise of any specified violation, (ii) pass an order in writing, cancelling the registration of such trust or institution, after affording a reasonable opportunity of being heard, for such previous year and all subsequent previous years, if he is satisfied that one or more specified violations have taken place (iii) pass an order in writing, refusing to cancel the registration of such trust or institution, if he is not satisfied about the occurrence of one or more specified violations, (iv) forward a copy of the order under clause (ii) or clause (iii), as the case may be, to the Assessing Officer and such trust or institution. Explanation- For the purposes of this sub-section, the following shall mean "specified violation"- (a) where any income derived from property held under trust, wholly or in part for charitable or religious purposes, has been applied, other than for the objects of the trust or institution, or (b) the trust or institution has income from profits and gains of business which is not incidental to the attainment of its objectives or separate books of account are not maintained by such trust or....
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.... a charitable institution created or established after commencement of the Act, income thereof the trust for the benefit of any particular religious community or caste. The Hon'ble Supreme Court in the case of CIT vs Dawoodi Bohara Jamat reported in 43 taxmann.com 243, held that the provision of section 13(1)(b) of the Act is applicable even to a composite trust/ institution having both religious and charitable objects, by observing as follows: "... 45. From the phraseology in clause (b) of section 13(1), it could be inferred that the Legislature intended to include only the trusts established for charitable purposes. That however does not mean that if a trust is a composite one, that is one for both religious and charitable purposes, then it would not be covered by clause (b). What is intended to be excluded from being eligible for exemption under Section 11 is a trust for charitable purpose which is established for the benefit of any particular religious community or caste." 7.3. Thus a conjoint reading of Sections 11, 12, 12A and 12AA of the Act makes it clear that registration under sections 12A and 12AA is a condition precedent for availing benefit under ....
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....clause 4.4 the trust could engage in rural development schemes. As per clause 4.5, the trust would engage in literary and cultural activities by making efforts for the development and protection of Indian culture. Clause 4.6 which pertains to other included activities such as running cow shelters, to provide food, cloth and financial help for economically weaker persons, to help during natural or other calamities, to serve humans and animals etc. 8. Thus, very premise for the Commissioner to come to the conclusion that the objects of the trust were confined for the benefit of a religious community, is incorrect. " 8.1. Thus the ratio of the above judgment will not be applicable to the facts of the assessee case, since the objects of the Assessee Trust which is meant only for the religious activities of Jain Community. 9. Next case law relied by the Ld Counsel for the assessee namely Leuva Patel Seva Samaj Trust (cited supra), this judgment is rendered by Hon'ble High Court in 2012 pertaining to the old provisions of Section 12A of the Act. In the present case, we are dealing with the amended provisions of Section 12AB of the Act which is effective from 01....