ITAT Allows Goregaon Education Society’s Exemption Claim u/s 11 Despite Delay in Filing Forms 9A and 10 obeying CBDT Circular

The Income Tax Appellate Tribunal (ITAT) has allowed the Goregaon Education Society to claim tax exemption under Section 11, despite a delay in filing the required Forms 9A and 10. The tribunal's decision was based on a CBDT circular that provides for the condonation of such delays. The society, a charitable institution, had failed to file the forms—which are necessary for claiming the benefits of accumulation of income—within the original due date. However, the ITAT, following the benevolent approach of the CBDT circular, held that a delay in filing these procedural forms should not lead to the denial of the substantive tax exemption, provided the institution has a reasonable cause for the delay. This ruling is a significant relief for charitable trusts and educational institutions, as it protects their tax-exempt status from being jeopardized by minor procedural lapses.