ITA 4705/DEL/2026

Parties Involved

Facts Summary

The assessee, Takshila Education Society, filed an appeal against the order of the Commissioner of Income Tax (Exemption), Chandigarh, dated 13.03.2026, which rejected the registration under section 12AB(1)(b)(ii) of the Income Tax Act, 1961. The Commissioner of Income Tax (Exemption) denied the registration to the appellant as it was not carrying any substantial charitable activity by itself and was rather engaged in commercial exploitation of its property. The assessee argued that it was not given an adequate opportunity to be heard, violating the principles of natural justice. The Tribunal noted that the rights of natural justice of the assessee have been violated as the impugned order was passed without giving the assessee an adequate opportunity to be heard. The Tribunal remitted the matter back to the file of the Commissioner of Income Tax (Exemption) for re-adjudication de novo, in accordance with law and by passing a speaking order.…

Legal Issues

• 1. Whether the assessee is carrying out any substantial charitable activity by itself?
• 2. Whether the assessee was given an adequate opportunity to be heard?

Judgment Outcome

Decided in favour of Assessee.

Similar Judgements

• Divam Khula Aasman Vs CIT (Exemption)

  Chandigarh bench

• Maa Charitable Trust

  DELHI ‘E’ BENCH benchAY 2024-25Allowed

• Foundation For Ecological and Environmental Sustainability Trust Versus CIT(Exemption)

  Jodhpur bench

• Mohd Waseeque Vs. The A.C.I.T

  Delhi ‘E’ Bench benchAY 2018-19Allowed

• Haryana Football Association Vs. CIT (Exemptions)

  Delhi Bench benchAY 2022-23Allowed

• PC Boudh Computer and Vocational Training Organisation v. The Commissioner of Income Tax (Exemption)

  Delhi 'C' Bench benchAY NAAllowed