" \n \nIN THE INCOME TAX APPELLATE TRIBUNAL \nNAGPUR BENCH, NAGPUR \n \nBEFORE SHRI V. DURGA RAO, JUDICIAL MEMBER AND \nSHRI K.M. ROY, ACCOUNTANT, MEMBER \n \nITA no.29/Nag./2025 \n(Assessment Year : N.A.) \n \nRamratan Sarda Medical Help Society \nAyodhya, 119, Bajaj Nagar \nNagpur 440 010 PAN – AACAR5260J \n \n……………. Appellant \n \nv/s \n \nCommissioner of Income Tax \nExemption, Pune \n \n……………. Respondent \n \nAssessee by : Shri Naresh Jakhotia \n \n \nRevenue by : Shri Sandipkumar Salunke \n \nDate of Hearing – 04/03/2025 \nDate of Order – 21/03/2025 \n \nO R D E R \n \nPER K.M. ROY, A.M. \n \n \n \nThe instant appeal by the assessee is emanating from the impugned \norder dated 12/12/2024, passed by the learned Commissioner of Income Tax \n(Exemption), Pune, , [“learned CIT(E)”], in Form no.10AD, rejecting the \napplication filed by the assessee in Form no.10AB(iii) of sub–section (5) of \nsection 80G of the Income Tax Act, 1961 (\"the Act\"). \n \n2. \nThe rejection was done by the learned CIT(E) vide impugned order \ndated 12/12/2024. As could be seen from the facts available on record, the \nlearned CIT(E) issued several statutory notice dated 30/07/2024, in response \nto which the assessee filed its reply/ submissions dated 13–14/08/2024. and \nthe assessee has very promptly complied with the said notices. The learned \nCIT(E), for the reasons known to him, has not considered the contents of the \n\n2 \n \nRamratan Sarda Medical Help Society \nITA no.29/Nag./2025 \n \n \nsubmissions/ reply filed by the assessee on 13–14/08/2024 and contrary to \nthis the learned CIT(A) held that the assessee has not furnished explanation \nto the notice. As stated by the assessee, the learned CIT(E) has not \ncommunicated any discrepancies to the assessee. The findings of the learned \nCIT(E) rejecting the application for registration under section 80G of the Act \nare reproduced below:– \n \n“5. The assessee was requested to show cause as to why the application \nshould not be rejected and why the approval granted under section 80G(5) of \nthe Income Tax Act, 1961 should not be cancelled. The assessee was also \ngiven opportunity of being heard vide the said notice. The assessee was \nspecifically informed that in the event of failure to comply by the due date, the \napplication shall be liable to be rejected and the approval shall also be liable to \nbe cancelled. The compliance to the said notice was due on 26/11/2024. The \nnotice was duly served on the assessee through e-portal and email. However, \nthe assessee neither submitted explanation to the show cause notice till date \nnor availed the opportunity of being heard. \n \n6. The assessee responded to the said notice on 06/12/2024 and requested \nfor an adjournment. However, due to time limitation the assessee's request \nfor adjournment was cancelled vide this office. \n \nFurther, the assessee was requested to furnish compliance till date \n09/12/2024. However, the assessee did not comply to the said notice. \n \n7. Since, the assessee has not furnished any explanation to the discrepancies \ncommunicated to it, it is presumed that the assessee has nothing to say in the \nmatter. \n \n8. Considering the above facts discussed in the show notice and discrepancies \nnoticed and also that the assessee has not complied with the provisions of \nsub-clause (a) of clause (ii) of second proviso to section 80G(5) of the Income \nTax Act, 1961 as well as the provisions of Rule 11AA(2) of Income Tax Rules, \n1962 in spite giving sufficient opportunities, the undersigned is unable to draw \nany satisfactory conclusion about the genuineness of activities of the assessee \nand fulfilment of conditions laid down in clause (i) to (v) of section 80G(5) of \nthe Act. \n \n9. As per the condition vide clause (i) of section 80G(5) of the Income Tax \nAct, 1961, the approval is available only if the income of the institution or fund \nis not be liable to inclusion in its total income under the provisions of section \n11 and 12 or clause (23AA) / clause (23C) of section 10 of the Income Tax \nAct, 1961. Exclusions for the said condition are detailed in clause (a), (b) and \n(c) of proviso to clause (i) of section 80G(5) of the Act. Therefore, the \ninstitution / fund is required to be regularly registered / approved either under \nsection 12AB or 10(23AA) or 10(23C) of the Income Tax Act, 1961 or the \n\n3 \n \nRamratan Sarda Medical Help Society \nITA no.29/Nag./2025 \n \n \ninstitution / fund shall be a Regimental Fund or Non-Public Fund established \nby the armed forces of the Union for the welfare of the past and present \nmembers of such forces or their dependents. \n \n10. In the instant case it is noticed that the assessee is neither regularly \nregistered u/s 12AB read with section 12A(1)(ac) (i) /12A(1)(ac)(iii) nor \nhaving regular approval under section 10(23C) read with clause (i) / (iii) of \nfirst proviso to the said section and the case is not covered under the \nexclusions provided vide proviso to clause (i) of section 80G(5) of the Act. The \nassessee is not approved under section 10(23AA) of the Act. The assessee is \nalso not a Regimental Fund or Non-Public Fund established by the armed \nforces of the Union for the welfare of the past and present members of such \nforces or their dependents. Therefore, the condition (i) of section 80G(5) of \nthe Income Tax Act, 1961 is also not fulfilled in this case. \n \n11. In view of the above, the application filed by the assessee is hereby \nrejected and the provisional approval granted on 19/11/2021 under clause (iv) \nfor first proviso to section 80G(5) of the Income Tax Act, 1961 is hereby \ncancelled.” \n \n \n3. \nIn view of the overwhelming evidences on record it is amply \ndemonstrated that the course of action by the learned CIT(E) is fallible and \nhence the same cannot be countenanced. Accordingly, the matter is hereby \nrestored to the file of the learned CIT(A) by setting aside the impugned order \npassed by the learned CIT(E) and direct him to re–adjudicate the issues \nraised by the assessee by considering the contents of the reply/ submissions \nfiled by the assessee and then decide the issues in accordance with law after \nproviding reasonable opportunity of being heard to the assessee, if so desired \nby him. \n \n4. \nIn the result, assessee’s appeal stands allowed for statistical purposes. \nOrder pronounced in the open Court on 21/03/2025 \n \nSd/- \nV. DURGA RAO \nJUDICIAL MEMBER \n \n \n \n \n \n Sd/- \nK.M. ROY \nACCOUNTANT MEMBER \nNAGPUR, DATED: 21/03/2025 \n\n4 \n \nRamratan Sarda Medical Help Society \nITA no.29/Nag./2025 \n \n \n \nCopy of the order forwarded to: \n \n(1) \nThe Assessee; \n(2) \nThe Revenue; \n(3) \nThe PCIT / CIT (Judicial); \n(4) \nThe DR, ITAT, Nagpur; and \n(5) \nGuard file. \n \n \n \n \n \n \n \n True Copy \n By Order \nPradeep J. Chowdhury \nSr. Private Secretary \n \n \n \n \n \n \n \n \n \n Sr. Private Secretary \n ITAT, Nagpur \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n"