Rotary Club of Mumbai Soho Charitable Trust Vs. CIT(Exemptions), Mumbai

Parties Involved

Facts Summary

The Rotary Club of Mumbai Soho Charitable Trust, a public charitable trust registered under the Bombay Public Trusts Act, 1950, had been granted provisional registration under section 12A of the Income-tax Act, 1961, which was valid up to the assessment year 2024-25. The trust filed an application for regular registration under section 12AB of the Act on 04.11.2024, which was approximately 400 days late. The trust attributed the delay to a bona fide belief based on CBDT circulars and claimed that the electronic facility for filing condonation of delay was not enabled on the income-tax portal till 31.03.2025. The Commissioner of Income Tax (Exemptions) rejected the application for registration and approval under sections 12AB and 80G, respectively, on the grounds of delay and an ancillary clause in the trust deed permitting the utilization of funds outside India, which was deemed to be in violation of section 11 of the Act.…

Legal Issues

• 1. Whether the delay in filing Form No.10AB can be condoned.
• 2. Whether the ancillary clause permitting utilization of funds outside India disqualifies the trust from registration.

Judgment Outcome

Decided in favour of Assessee.

Precedents Relied Upon

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