The assessee, a registered charitable trust running an educational institution and eligible for exemption under sections 11, 12A/12AB and 80G, filed its return for AY 2018–19 in time along with a duly obtained audit report in Form 10B dated 25.09.2018. However, the digital upload of Form 10B on the income-tax portal occurred on 27.06.2019. AO/ CPC denied exemption under section 11 solely on the ground of delayed digital uploading of the form 10B and processed the return under section 143(1) without issuing a notice under section 143(1)(a). The CIT(A) dismissed the appeal ex-parte without adjudicating all grounds of appeal and upheld the denial of exemption u/s 11 of the Act. Before the Tribunal, the assessee showed that the Form 10B audit report was obtained and existed on the date of filing the return, was subsequently uploaded, and a condonation application had been filed with the CIT(E) which had remained to be disposed of for about 6 years. Relying on CBDT Circular No. 3/2020 and multiple judicial precedents (including Sarvodaya Charitable Trust 125 taxmann.com 75 (Gujarat) and Mayur Foundation 274 ITR 562 (Gujarat)), the ITAT held that delay in uploading Form 10B was a merely procedural and could not defeat an otherwise valid claim for exemption when the trust satisfied all conditions and the audit report existed in time. The Tribunal condoned the delay, directed the Assessing Officer to grant exemption under section 11, and held that other grounds had become academic. The appeal was accordingly allowed