BCCI v. ACIT : The Tribunal exceeded its jurisdiction by ruling on the merits of a non-statutory “advisory” communication after declaring the appeal unmaintainable

28. BCCI v. ACIT: (2026) 488 ITR 152 (Bom): 2025 SCC OnLine Bom 317: (2025) 344 CTR 883 (Bom)

Date of order 18th February 2025

Ss. 12A, 12AA and 253 of ITA 1961

A. Charitable purpose :— (a) Exemption — Registration — Director (Exemption) by letter expressing view that as consequence of amendment of objects by assessee, assessee’s registration no longer survives — Appeal by assessee to Tribunal challenging the communication — Tribunal accepting the contention of the Department and holding that appeal against communication not maintainable — On merits Tribunal upholding view expressed in communication — High Court held, Tribunal exceeded jurisdiction in going in to merits — Communication quashed with clarification that question of cancellation of assessee’s registration or entitlement to exemption would be decided by authorities without being affected by view expressed therein or by Tribunal; (b) Power to grant exemption — Power to cancel registration — No power to issue “advisories” or non-statutory opinions intending to affect an assessee.

B. Appeal to Appellate Tribunal — Appeal challenging communication to assessee from Director (Exemptions) — Department contending in assessee’s appeal tha