#tax registration

ITAT Ahmedabad ruled that rejection of tax exemption registration under Sections 12A/12AB and 80G without granting the trust a fair hearing violates principles of natural justice. The tribunal set aside the order, emphasizing procedural fairness and the interdependency of these provisions for charitable trusts seeking tax benefits.

The ITAT Delhi has ruled that denying an applicant an opportunity to be heard before rejecting their Section 12A registration application violates natural justice, regardless of the adequacy of submitted documents. This sets a critical precedent for all charitable entities seeking tax exemption, mandating procedural fairness even when substantive claims appear weak.