The tribunal emphasizes that substantial justice should prevail over technicalities regarding non-deliberate delays in filing appeals and that parties should be given a fair opportunity to represent their case if administrative errors (like ignoring adjournment requests) occurred.

आदेश / ORDER

PER SANDEEP GOSAIN, JM:

ITA No. 217/Mum/2026, A.Y. 2025-26

The present appeal has been filed by the Assessee challenging the impugned order dated 13.08.2024 passed u/s 12A of the Income Tax Act, 1961 (‘the Act’), by the CIT (Exemption), Pune for the Assessment Year 2025-2026. The following grounds are reproduced below:

"Ground No.1: On the facts and in the circumstances of the case and in law, the Ld. CIT(E) erred in rejecting an thereby refusing to grant registration u/s 12A of the IT Act, 1961, to the appellant trust as well as cancelling the provisional registration earlier granted u/s 12AB on 17.11.2021, for the ostensible reason that the appellant trust had not complied with the notice dated 29.11.2024 by the given date of 06.12.2024 ignoring the adjournment request of the assessee uploaded on the IT portal, on 02.12.2024, seeking further time and, therefore, the action of the Ld. CIT(Exemption) in rejecting the application was not justified and hence may kindly be overturned and set aside.

Ground No.2: On the facts and in the circumstances of the case and in law, the Ld. CIT(E)passed an order in Form no. 10AD on 10.12.2024, rejecting the application filed by the appellant for granting of registration u/s 12A as well as cancelling the provisional registration earlier granted u/s 12AB on 17.11.2021, be set aside and the Ld. CIT (Exemption) be directed to consider the said application on merits.

The appellant craves leave to add, amend and/or vary any of the above grounds of appeal at any time before the decision of the appeal.

2. At the very outset we noticed that there is a delay in filing the present appeal and in this regard Ld. AR drew our attention to the fact that the separate application along with a detailed affidavit has been filed. The contentions of the affidavit are reproduced herein below;

i. That the said trust is registered under the Bombay Public Trust Act, 1950 , under registration no. E-271 (Thane) since 10th March, 1964.

ii. That the said trust was granted provisional registration u/s 12AB of the Income Tax Act, 1961, w.e.f. 17th November 2021.

iii. That, subsequently, the said trust applied for the grant of registration u/s 124(1)(ac) as well as for the grant of approval u/s 80G(5), both on 30.06.2024, with the office of Hon. CIT (Exemption) Pune.

iv. That, in the course of the registration/approval procedure, the Hon. CIT (Exemption) issued notices dated 29.11.2024 seeking certain further information by 06.12.2024 concerning the application u/s 12A/80G(5).

v. That, as the information sought for was being compiled, the said trust sought adjournment online on the IT portal on 02.12.2024, seeking extension of time till 21.12.2024 for furnishing the relevant information.

vi. That the Hon. CIT (Exemption) unaware of such extension of time sought vide adjournment request dated, 02.12.2024, presumed that the said trust has not furnished any response to the notices dated 29.11.2024 and rejected the registration application u/s 12A(1)(ac) as well as application seeking approval u/s 80G(5) of the Act vide orders dated 10.12.2024.

vii. That the authorised representative of the said trust brought the error of not considering the adjournment request dated 02.12.2024 to the attention of the office of the Hon. CIT (Exemption), Pune and was advised to file a fresh application immediately u/s 12A/80G(5). The said trust filed a fresh application for the grant of registration u/s 124(1)(ac) on 19.03.2025 and for approval u/s 80G(5) on 20.0