आयकर अपीलीय अधिकरण, धिशाखापटणम पीठ, धिशाखापटणम IN THE INCOME TAX APPELLATE TRIBUNAL VISAKHAPATNAM “DIVISION” BENCH, VISAKHAPATNAM श्री दुव्वूरु आर एल रेड्डी, उपाध्यक्ष, एिं श्री एस बालाकृ ष्णन, लेखा सदस्य के समक्ष BEFORE SHRI DUVVURU RL REDDY, HON’BLE VICE PRESIDENT &

SHRI S BALAKRISHNAN, HON’BLE ACCOUNTANT MEMBER आयकर अपीलसं./I.T.A.No.179/VIZ/2025 (निर्धारण वर्ा/ Assessment Year: 2025-26)

Chaitanya Bharathi Vs. Commissioner of Income Tax Plot No. 02, Naidu Residency Exemptions Ward C.B. Colony, Cantonment Hyderabad Vizianagaram – 535003 Andhra Pradesh [PAN:AAATC4803D]

(अपीलधर्थी/Appellant) (प्रत्यर्थी/Respondent)

करदाता का प्रतततितित्व/ Assessee Represented by : Shri C.Subrahmanyam, CA राजस्व का प्रतततितित्व/ Department Represented by : Shri Badicala Yadagiri, CIT(DR)

सुिवाई समाप्त होिे की ततति/ Date of Conclusion of Hearing : 14.08.2025 घोर्णध की तधरीख/Date of Pronouncement : 28.08.2025 आदेश /O R D E R PER SHRI S BALAKRISHNAN, ACCOUNTANT MEMBER:

1. This appeal is filed by the assessee against rejection order of Learned Commissioner of Income Tax (Exemption), Hyderabad [hereinafter in short “Ld.CIT(E)”] vide DIN & Notice No. ITBA/EXM/F/EXM45/2024-

25/1073445292(1) dated 13.02.2025 seeking registration under section 12AB of the Income Tax Act, 1961 (in short ‘Act’).

2. Briefly stated facts of the case are that the assessee has filed an e-application in Form No.10AB seeking registration under section 12AB of the Act. The Ld.CIT(E) issued notices to the assessee in respect of proceedings under section 12A(1)(ac)(iv) of the Act to produce the copy of Memorandum of Association/Trust Deed for verification and to furnish a detailed reply on the specific information called for in the said notice. In response, assessee has submitted some of the details as called for. On perusal of the submissions made by the assessee, it is observed by the Ld.CIT(E) that the CPC has issued provisional registration in form 10AC dated 05.04.2022 valid from AY 2022-23 to AY 2024-25. As per the Finance Act, 2020, the assessee should have applied form 10AB for regular registration u/s 12AB, at least six months before the expiry of provisional registration or within six months from the date of commencement of activities, whichever is earlier. Further, the CBDT vide circular No. 7 of 2024 dated 25.04.2024 extended the time limit for filing of form 10A/10AB till 30.06.2024. However, the assessee has applied Form 10AB for regular registration u/s 12AB on 11.08.2024, i.e beyond the time limit prescribed for filing of Form 10AB. Therefore, Ld.CIT(E) observing that assessee has made the application in Form 10AB beyond the time limit prescribed, and thus rejected the registration under section 12AB of the Act.

3. Aggrieved by the rejection order, assessee filed an appeal before us and raised following grounds in its appeal: -.

“1. That the Ld. CIT (Exemptions) erred in law and on facts in rejecting the appellant's application for re-registration u/s 12AB of the IT Act, 1961 solely on the ground of delay in filing Form 10AB, without appreciating that the delay was due to genuine and bona fide circumstances beyond the appellant's control.

2. That the Ld. CIT(Exemptions) failed to consider that the appellant trust is managed primarily by volunteers and trustees engaged in social and charitable work, and was under a bona fide belief that the existing registrations u/ss 12A and 80G remained valid until AY 2026-27, as per the earlier certificate issued.

3. That the appellant has at all times complied with the substantive conditions of section 12A of the Act, including application of income for charitable purposes and maintenance of proper books of account; the default, if any, was merely procedural and not intentional.

4. That no prejudice has been caused to the Revenue by the delay in filing Form 10AB, as no exemption was claimed during theintervening period, and there has been no diversion or misapplication of funds by the appellant trust.

5. That the impugned order rejecting the