IN THE INCOME TAX APPELLATE TRIBUNAL “A’’BENCH: BANGALORE BEFORE SHRI WASEEM AHMED, ACCOUNTANT MEMBER AND SHRI KESHAV DUBEY, JUDICIAL MEMBER ITA No.23/Bang/2025 Assessment Year : 2024-25 M/s. Anugraha Education Trust

1-55, Anugraha, Yenekal Post Subramanya Sullia 574 238 Vs. CIT (Exemptions)

Karnataka Bangalore PAN NO :AABTA0843J APPELLANT RESPONDENT Appellant by : Ms. Sunaiana Bhatia, A.R. Respondent by : Smt. Srinandini Das, D.R.

Date of Hearing : 15.04.2025 Date of Pronouncement : 21.04.2025

O R D E R

PER KESHAV DUBEY, JUDICIAL MEMBER:

This appeal at the instance of the assessee is directed against the order of ld. CIT(Exemptions), Bangalore dated 8.11.2024 vide DIN & order No. ITBA/EXM/F/EXM45/2024-25/1070217435(1) rejecting the approval u/s 80G of the Income Tax Act, (in short “The Act) filed in Form No.10AB dated 29.6.2024.

2. The assessee has the raised following grounds of appeal:

3. The brief facts of the case are that the assessee trust is registered under sub-clause (i) of clause (ac) of sub-section (1) of section 12A of the Act vide Unique registration No. AABTA0843JE20213 dated 24.9.2021 from the assessment year 2022-23 to 2026-27. Further, the assessee trust has been granted the provisional approval dated 31/12/2021 under clause (iv) of first proviso to sub-section (5) of section 80G from 31.12.2021 to assessment year 2024-25 in Form No.10AC by the ld. PCIT/CIT. The assessee trust thereafter applied for permanent registration/ approval as per clause (iii) of first proviso to sub-section (5) of section 80G of the Act in Form No.10AB on 29.6.2024 vide Ack.no.

534264060290624.

3.1 The ld. CIT(Exemptions), Bangalore after granting opportunity of being heard rejected the approval u/s 80G of the Act on the ground that provisions of section 80G of the Act are applicable in the cases of receipts in the form of donation to certain funds as defined in section 80G(2) of the Act. Further the ld. CIT(Exemptions) held that as the receipts in the form of school bus fess, tuition fees and exam fees do not fall under the definition of donations and therefore, held that the provisions of section 80G of the Act are not applicable in the present case.

3.2 Aggrieved by the order of ld. CIT(Exemptions), Bangalore the assessee has filed the present appeal before us. The assessee has also filed the paper book comprising 114 pages containing therein the following documents:

4. Before us, the ld. A.R. of the assessee vehemently submitted that the ld. CIT(Exemptions) erred in rejecting the grant of approval u/s 80G of the Act on the ground that school bus fees, tuition fees and exam fees collected by the assessee trust for certain financial years do not fall under the definition of donation. Further, the ld. A.R. of the assessee submitted that for grant of approval u/s 80G of the Act, the ld. CIT(Exemptions) should only be satisfied about the genuineness of the activity of the trust and fulfillment of the conditions laid down in clause (i) to (v) of section 80G(5) of the Act.

5. The ld. D.R. on the other hand vehemently supported the order of the authorities below and submitted written submissions which are reproduced below for ease of reference and record:

6. We have heard the rival submissions and perused the materials available on record. It is an undisputed fact that the assessee has been granted registration under sub-clause (i) of clause (ac) of sub-section (1) of section 12A of the Act vide Unique registration No. AABTA0843JE20213 dated 24.9.2021 from the assessment year 2022-23 to 2026-27. We are of the considered opinion that the registration u/s 12A must have been granted only after the ld. CIT(Exemptions) calling for the document/information from the trust in order to satisfy himself about the genuineness of the activity of the trust or institution and compliance of such requirements of any other law for the time being in force by the trust or institution as are material for the purpose of achieving its object. Further, we also take a note