TaxTMI 
TaxTMI 
2026 (4) TMI 1612
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....Income Tax Act, 1961 (for short, "Act") have been rejected. 2. The assessee is a trust, filed applications seeking registration under section 12AB and approval under section 80G(5) of the Income-tax Act, 1961. A notice was issued by the Ld. CIT(E) on 04.06.2024 calling for various details in respect of charitable activities claimed to be carried out by the trust. In response, assessee furnished details including photographs, bills, notes on activities, and particulars of expenses incurred towards charitable objects. The assessee submitted that it is engaged in educational and welfare activities, including support to students and conducting educational sessions. The assessee also furnished financial statements and other supporting documen....
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....olely for the benefit of a specific community in violation of statutory provisions and such allegation is based on his whims and fancies. Learned counsel for the assessee also submitted that at the stage of granting registration under section 12AB and approval under section 80G(5), only a prima facie satisfaction regarding the objects and genuineness of activities is required, and not a detailed scrutiny or conclusive verification of each transaction. He submitted a paper book running into 77 pages, which includes Memorandum of Association, Audit Reports in Form 10BB for A.Ys. 2020-21 to 2022-23. He prayed that the rejection of applications and cancellation of provisional registration/ approval be set aside, and registration under section 1....
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....s on record to disprove the evidences particularly when the primary objects of the trust are charitable in nature. Further, the observation of the Ld. CIT(E) that the trust is benefiting a particular religious community cannot be a infallibly ground for rejection unless it is demonstrated that the trust is established for the benefit of a specific religious community or caste in violation of the statutory provisions. No such conclusive finding has been brought on record as Ld. CIT(E) has miserably failed as to how he has arrived at his conclusion. As regards deficiencies in bills, invoices, or absence of some material may require further verification during assessment proceedings, but do not justify outright rejection of registration at the....
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....of the Act. Thus, it is clear that the impugned order passed by the learned CIT, is founded, on the consideration of irrelevant provisions of section 11, 12 and 13 of the Act, which are operative and relevant, in the course of assessment proceedings. The provisions of section 12A and 12AA are material and relevant, for the purpose of granting registration u/s 12AA of the Act. Needless to say that it is well settled legal proposition that the registration proceedings u/s 12A read with section 12AA of the Act are not to be confused with the assessment proceedings wherein the provisions of section 11, 12 and 13 of the Act are applicable. The provisions of section 12A and 12AA of the Act confer jurisdiction, on the CIT, for grant of registratio....