The assesse trust applied for registration u/s 12A of the Act . CIT( E ) granted the exemption subject to certain conditions . The assessee challenged then the said order of Commissioner ( E) on the ground that the provisions of the Act do not provide for conditional registration u/s 12A of the Act and in the absence of such provision under the Act CIT(E ) was not justified in imposing conditions upon the assessee. On appeal the Tribunal held that the CIT (E ) has limited role and can call for documents or information or make inquiries . The CIT(E ) cannot decide how and what reasons the Registration has to be cancelled , that too at the time of Registration . The CIT( E) could not have supplemented the conditions by laying down conditions at the time of granting the Registration .
Raj Navajbahi Tata Zoroastraian Girls School v. CIT( E) ( 2022) 141 Taxmann.com 62 ( Mum)( Trib)
S. 12AB: Procedure for fresh registration – Commissioner granted the Registration subject to various conditions – Conditions cannot be imposed as the scheme of the Act does not visualise the conditions imposed by the Commissioner [ S. 2(15)( 11), 12, 12A , 80G 115TD, 115 TF , Foreign Contribution Regulation Act 2010 (FCRA) ]
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