S. 12A : Registration-Trust or institution-Delay in filing audit report- Condonation of delay in filing Form 10B-Justice oriented approach should prevail over a pedantic one-Delay of 27 days condoned-Order of Commissioner (E) was set aside. [S. 11, 12, 119, Form No. 10B, Art. 226]
The assessee, Damani Research Foundation of Medical Sciences, filed a writ petition against the order of the Commissioner of Income -Tax (E) refusing to condone a 27 day delay in filing Form 10B. The CIT(E) rejected condonation on the ground that the delay was not sufficiently explained. On writ the Bombay High Court observed that the delay was minimal, and refusal to condone would cause serious prejudice and hardship to the trust. The Court emphasized that a justice-oriented approach should prevail over a pedantic one. Referring to rulings in Sau Dwarkabai Tai Karwa Charitable Public Trust v. CIT(E) [2025] 174 taxmann.com 245 (Bom.)(HC) and Kotak Family Foundation v. CIT (E) [2025] 176 taxmann.com 56 (Bom.)(HC), where similar delays were condoned, the Court held that Commissioner (E) erred in rejecting the application. Accordingly, the Court set aside the order of the CIT(E) and condoned the delay of 27 days in filing Form 10B. The writ petition was allowed. (WP No. 1583 of 2025, dt.11-8-2025)
Damani Research Foundation of Medical Sciences v. CIT (E) (Bom)(HC) www.itatonlie.org
[Coram : Hon’ble Shri Justice B. P. Colabawalla and
Hon’ble Shri Justice Firdosh Phiroze Pooniwalla]