An appeal has been taken into account by the Delhi Income Tax Appellate Tribunal against the order of the Commissioner of Income Tax (Exemptions), Chandigarh dated 19.02.2026.
It rejected the assessee society’s application for the renewal of registration u/s 12AB submitted in Form No. 10AB u/s 12A(1)(ac)(ii) of the Income-tax Act, 1961.
As per the assessee society, established on 23.01.2009 for educational activities, its activities are specified within the definition of charitable purpose u/s 2(15).
It previously granted registration u/s 12AA and thereafter u/s 12AB. It has given its memorandum of association, financial statements, and other supporting records, including its renewal application dated 26.09.2025.
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The CIT (exemptions), in examination of the application, observed from the financial statements that substantial amounts had been provided to various persons and entities, along with the persons associated with the society.
The Tribunal of Satbeer Singh Godara, Judicial Member, and M. Balaganesh, Accountant Member, said that “In our considered opinion, the Assessee has sought only renewal of registration. The genuineness of the activities of the Assessee society is not doubted by the revenue. Further, the educational activity carried out by the Assessee is also not doubted by the revenue. Hence, the Assessee’s application seeking renewal of registration under section 12AB of the Income Tax Act cannot be denied.”
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The bench observed that if the revenue wishes to investigate the validity of the loans and advances provided to various individuals, along with their purposes and connections to the charitable activities of the Assessee society, this matter can be addressed during the assessment proceedings.
Therefore, such inquiries cannot serve as a valid reason for denying the renewal of registration requested by the Assessee.
Consequently, the CIT (Exemptions) was directed to grant the renewal of registration u/s 12AB of the Income Tax Act to the Assessee society, based on the facts and circumstances of this case.
| Case Title | Shishu Kalyan Educational Society vs CIT (Exemption) |
| Case No. | ITA No. 2704/Del/2026 |
| Assessee by | Shri Pawan Chhikara and Ms Himani Garg |
| Revenue by | Ms. Lalita Kumari |
| Delhi ITAT | Read Order |
