Non disposal of application for trust registration within 6 months cannot be construed as deemed registration:
Case Title: The Commissioner of Income Tax versus Dr. Kasliwal Medical Care & Research Foundation
Case Number: Income Tax Appeal No. 4320 OF 2009
Facts:
1. The assessee/ respondent, a public trust running a pediatric hospital, filed an application in Form No. 10A requesting registration of the assessee u/s 12A of the Income Tax Act.
2. The registration was however, refused by the CIT. When the matter reached the Tribunal, it was held that as the CIT did not pass an order granting or refusing registration of assessee u/s 12A(1) within a period of six months as prescribed u/s 12AA(2), the assessee is deemed to have been granted a registration.
3. Challenging the same, the Revenue approached the High Court.
Hon Bombay HC held as below:
1. Apex Court in case of Harshit Foundation approved the decision of the Full Bench of the Allahabad High Court that non-disposal of application for registration u/s 12AA(2) within a period of six months, would not result in deemed grant of registration.
2. Therefore, it can be concluded that Sec 12AA(2) does not conceives any deemed grant of registration, if the assessee’s application is not decided within six months.
3. The Revenue’s appeal is allowed.
The copy of the order is as under:
