TaxTMI 
TaxTMI 
2026 (9) TMI 700
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....Assessment Year 2026-27. 2. Brief facts of the case are as under:- Assessee, St.Ignatius Church, is a religious-cum-charitable institution registered as a public trust under the Maharashtra Public Trusts Act, 1950 since 20/06/1955. It filed an application in Form No.10AB on 02/09/2025 under sub-clause (ii) of section 12A(1)(ac) seeking renewal of its regular registration. During the proceedings, the Ld.CIT(E) called upon the assessee to furnish, inter alia, a self-certified copy of the instrument of trust/Memorandum of Association. In response, the assessee furnished the application made before the Registrar of Public Trusts, the certificate of registration issued by the Charity Commissioner and other supporting documents. 2.1. The....
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....the Maharashtra Public Trusts Act, 1950 sufficiently evidence the creation, establishment and continued existence of the assessee. 3.1. Reliance was placed on the decision of Coordinate Bench of this Tribunal in case of St. Joseph's High School v. CIT(E), ITA Nos.5646 and 5849/Mum/2026, order dated 05/08/2026. 3.2. The Ld.DR relied upon the impugned order and submitted that, in the absence of a constitutive instrument, the Ld.CIT(E) could not have examined the objects, administration and activities of the assessee as required u/s. 12AB of the Act. We have perused the submissions advanced by both sides in light of the record placed before us. 4. The controversy before us is narrow. The assessee's application for renewal of regist....
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....rmal written trust deed, by itself, constitutes a valid ground for rejection of an application for renewal of registration u/s. 12AB where the applicant asserts that it was established otherwise than under an instrument and furnishes other documents evidencing its creation and continued existence. In this regard, Rule 17A(2)(a) applies where the applicant is created or established under an instrument, whereas Rule 17A(2)(b) specifically applies where the applicant is created or established otherwise than under an instrument and requires a self-certified copy of the document evidencing its creation or establishment. Thus, the Rule itself recognises that a religious or charitable institution may be created or established otherwise than under ....
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....ement and functioning. He further characterised the rejection as a "gentle reminder" to formulate a suitable instrument or to obtain a scheme for its management from the Charity Commissioner or a competent Court. These observations demonstrate that the rejection was not founded upon any adverse conclusion regarding the assessee's objects or the genuineness of its activities, but was essentially intended to secure the execution of a formal governing instrument. 4.6. Such an advisory consideration, however desirable it may be from an administrative perspective, cannot substitute or enlarge the statutory requirements prescribed under section 12AB read with Rule 17A(2). The statutory distinction between an institution established under an in....
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....erely because they did not constitute a formal trust deed. It is aalso noted that the Ld.CIT(E) has not recorded any adverse finding regarding the religious or charitable objects of the assessee, the genuineness of its activities or non-compliance with any other law material for achieving its objects. 4.9. Accordingly, the impugned order dated 29/03/2026 is set aside. Considering that the assessee has been continuously recognised as a religious-cum-charitable institution, is registered under the Maharashtra Public Trusts Act since 20/06/1955, has enjoyed registration under the Act for several decades and has been granted registration under the substituted regime vide Form No.10AC dated 23/09/2021, we direct the Ld.CIT(E) to grant renewal....