TaxTMI 
TaxTMI 
2026 (7) TMI 1697
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....10AB under section 12A(1)(ac)(ii) of the Income Tax Act, 1961 ["the Act"], seeking renewal of registration under section 12AB of the Act, was rejected. 2. The assessee has raised the following grounds of appeal: 1. Order Bad in Law and on Facts The learned Commissioner of Income Tax (Exemptions) ["CIT(E)"] has erred in law and on facts in rejecting the application for renewal of registration under section 12AB of the Act. The learned CIT(E) has grossly erred in holding that the registration granted under section 12AB vide Form 10AC dated 28.05.2021 is invalid in law, merely on the ground that the Appellant did not furnish the old registration certificate under section 12A/12AA. 2. Non-Submission Due to Bona Fid....
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....uld not have been disregarded on a mere technical lapse. 6. Improper Rejection Without Verification The learned CIT(E) ought to have verified the existence of earlier registration from departmental records instead of rejecting the application outright. 7. Without prejudice, the learned CIT(E) ought to have granted an opportunity to furnish the old registration certificate or restored the matter for verification instead of rejecting the application. 8. General Ground The Appellant craves leave to add, amend, alter or withdraw any of the above grounds at the time of hearing. The above grounds are without prejudice to each other and are mutually independent as well as interrelated. 3. Brief Facts....
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.... granted to the assessee in Form No. 10AC dated 28.05.2021 as invalid only because the earlier registration certificate had not been produced. 6. The learned AR further invited our attention to the copy of the registration certificate dated 24.02.2005 placed at page No. 14 of the paper book. It was submitted that the said certificate established that the assessee was duly registered under the erstwhile registration regime much prior to 01.04.2021. He, therefore, contended that the very foundation on which the learned CIT(E) had treated the registration granted in Form No. 10AC dated 28.05.2021 as invalid did not survive. 7. Per contra, the learned Departmental Representative relied upon the impugned order. He particularly invited our ....
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....ation was rejected. 10. We further find that the learned CIT(E) has not recorded any specific adverse finding regarding the charitable nature of the objects of the assessee or the genuineness of its activities. The rejection is substantially founded upon the non-production of the earlier registration certificate and the consequential conclusion that the registration granted in Form No. 10AC dated 28.05.2021 was invalid. 11. In our considered view, when the assessee has now produced a copy of the registration certificate dated 24.02.2005, the ends of justice would be met by restoring the matter to the file of the learned CIT(E) for the limited purpose of verifying the authenticity and validity of the said certificate. A substantive cla....
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....to observe that the course adopted by the learned CIT(E) in treating the registration already granted to the assessee in Form No. 10AC dated 28.05.2021 as invalid is not contemplated under the statutory scheme. A subsisting registration cannot be rendered invalid or non est merely by making a collateral observation while disposing of an application for renewal. If the learned CIT(E) was of the view that the existing registration was liable to be brought to an end, it was incumbent upon him to invoke the specific statutory provisions governing cancellation and to pass an express order in writing after following the procedure and safeguards prescribed under the Act. In the case of an application made under section 12A(1)(ac)(ii), section 12AB....