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IN THE INCOME TAX APPELLATE TRIBUNAL

"G" BENCH, MUMBAI

SHRI OM PRAKASH KANT, ACCOUNTANT MEMBER

SHRI RAHUL CHAUDHARY, JUDICIAL MEMBER

ITA No. 1985/MUM/2026

(Assessment Year:2027-2028)

Shri Ramanlal Shah (Pradipkumar & Co.) Charitable Trust

701, Arun Chambers, 80 Tardeo Road,

Mumbai 400034

[PAN: AAATR0400M] …………. Appellant

Vs

Commissioner of Income Tax (Exemption)

Mumbai

Room No. 601, 6^th Floor, Cumballa Hill,

………….

MTNL Office, Pedder Road, Mumbai 400026 Respondent

Appearance

For the Appellant/Assessee : None

For the Respondent/Department : Shri Arun Kanti Datta

Date

Conclusion of hearing : 18.05.2026

Pronouncement of order : 21.05.2026

O R D E R

Per Rahul Chaudhary, Judicial Member:

1. The present appeal preferred by the Assessee is directed against the

order, dated 27/12/2025, passed by the Learned Commissioner of

Income Tax (Exemption), Mumbai [hereinafter referred to as the

‘CIT(E)’] whereby the application filed by the Assessee in Form

No.10AB seeking registration under Section 12AB of the Income Tax

Act, 1961 [hereinafter referred to as ‘the Act’] was rejected.

2. The Assessee has raised following grounds of appeal:

1. The impugned rejection order dated 27/12/2025 rejecting the

assessee's application for renewal of registration under Section

12A(1)(ac) (ii) of the Income Tax Act, 1961 filed on 24.05.2025 for

assessment year 2027-2028, is erroneous, arbitrary, and contrary to

law, in as much as it solely hinges on the non-inclusion of a irrevocable

& dissolution clauses in the trust deed, overlooking the assessee's

(cid:1) ITA No.2048/Mum/2026

Assessment Year 2026-2027

bonafide efforts to rectify the same.

2. The assessee trust is a genuine charitable institution duly registered

under Bombay Public Trusts Act, 1950, engaged in charitable activity

such as Medical Relief, Education donation to needy people and other

charitable object, has been compliant with all statutory obligations.

3. The assessee has approached the Charity Commissioner, seeking

amendment to the trust deed to incorporate the requisite irrevocable &

dissolution clauses as per Section 12A(1)(ac)(ii). The amendment

process, being statutory, is underway but is likely to extend beyond

31.03.2026 due to procedural timelines under the relevant Trusts Act.

3. When the appeal was taken up for hearing, none was present on

behalf of the Assessee. However on the perusal of the grounds raised

by the Assessee in the present case we find that the issue raised

therein had come up for consideration before the Hon’ble Bombay

High Court in the case of Chamber of Tax Consultants Vs.

Commissioner of Income-tax (Exemptions) [2026] 184

taxmann.com 374, dated 09/03/2026. On perusal of the same, we

find that a writ petition was filed under Article 226 of the Constitution

of India before the Hon’ble Bombay High Court challenging the action

of the Learned CIT(E) rejecting application for renewal under Section

12AB of the Act. The issues requiring determination were recorded in

Paragraph 4 of the said judgment which reads as under:

“4. The core issue arising for our determination revolves around a

view taken by Respondent No. 1 (which the Petitioners allege is

untenable) while processing renewal applications filed in Form

10AB under the registration regime effective from 1st April 2021

in terms of section 12AB of the Act. Respondent No. 1 has

rejected the applications for renewal of registration of Petitioner

Nos. 3 to 8, primarily, on two grounds:

a. the trust deed or instrument constituting the concerned

entities does not contain an explicit clause stating that the

trust is "irrevocable" and/or providing for the manner of

dissolution;

2

(cid:1) ITA No.2048/Mum/2026

Assessment Year 2026-2027

b. the applicants, in their online Form 10AB, were compelled

to answer "Yes" to the question in Row 6, viz., "Whether

the trust deed contains clause that the trust is

irrevocable?". Since, the trust deeds were silent on this

aspect, Respondent No. 1 has treated this reply as

furnishing "false or incorrect information," which

constitutes a "sp