आआआआ आआआआआआ आआआआआआ, आआआआआआआआ आआआ IN THE INCOME TAX APPELLATE TRIBUNAL Hyderabad ‘B’ Bench, Hyderabad BEFORE SHRI LALIET KUMAR, JUDICIAL MEMBER AND SHRI MADHUSUDAN SAWDIA, ACCOUNTANT MEMBER आ.अपी.सं /ITA No.984/Hyd/2024 (निर्धारण वर्ा/Assessment Year:2022-23)

This appeal is filed by Chetna Organic Farmers Association (“the assessee”), feeling aggrieved by the order passed by the Learned Commissioner of Income Tax (Exemption), Hyderabad (“Ld.

CIT(E)”), dated 13.06.2024 for the A.Y. 2022-23.

2. The assessee has raised the following grounds :

“ 1. The Order of the learned Commissioner of Income Tax (Exemption), is erroneous both on facts and in Law in rejecting the application u/s 12A of the I.T act.

2. The action of the learned Commissioner of Income Tax Exemption erred in rejecting application u/s 12A of the I.T act without considering the appellant submissions, therefore order passed by the Learned CIT(Exemption) against the assessee is unjust, arbitrary and deserves to be quashed.

3. That action of the learned Commissioner of Income-tax (Exemption) in not advising the appellant submit form 12A(1)(ac)(i) which was unable to upload in the portal as advised by the, CIT(Exemption)

4. The learned Commissioner of Income-Tax (Exemption)erred in rejecting the application without following the procedure.

5. For these and other grounds that may be urged at the time of hearing, it is submitted that the Order of the lower authorities be set aside or modified as may be deemed fit."

3. The brief facts of the case are that, the assessee was holding Registration u/s.12AA of the Income Tax Act, 1961 (“the Act”) w.e.f. 25.06.2008. Clause (ac) was inserted in section 12A(1) of the Act w.e.f. 01.04.2021. As per the provisions of section 12A(1)(ac), the person who was registered u/s.12A / 12AA before 01.04.2021 were required to apply for Registration u/s.12A(1)(ac)(i) within the specified time period in form No.10A. The specified time period was finally extended to 30.06.2024 by CBDT vide Circular No.7/2024 dated 25.04.2024. The assessee filed Form No. 10A within the stipulated time, while filing the said form, erroneously selected sub- section (vi) instead of sub-section (i). Based on this incorrect application, the Central Processing Centre, Bangalore (“CPC”) on 10.03.2022 issued Form No. 10AC, granting provisional registration for the period from 2022-23 to 2024-25. Subsequently, realising the error, the assessee filed Form No. 10AB on 04.02.2024, instead of filing Form No. 10A. Ld. CIT(E) issued notices highlighting the error and informing the assessee about the extended date of

30.06.2024, granted by CBDT for filing of Form No.10A. However, the assessee failed to respond to the said notices. Consequently, Ld.

CIT(E) rejected the application filed by the assessee on 13.06.2024.

4. Aggrieved with the order of Ld. CIT(E), the assessee filed appeal before the ITAT. The Learned Authorised Representative (“Ld. AR”) submitted that, the filing of incorrect Form was inadvertant and unintentional. He also submitted that, strict adherence to procedural time line in this case caused undue hardship and deprive the assessee the benefits of Registration u/s. 12A of the Act. Therefore, the Ld. AR prayed before the bench to provide one more opportunity to file Form No.10A before the Ld. CIT(E).

5. Per contra, the Learned Department Representative (“Ld. DR”) submitted that, inspite of sufficient opportunity, the assessee did not file the specified form within the stipulated time period. He objected for grant of further opportunity to the assessee.

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