The ITAT Ahmedabad rejected a charitable trust's application for continuation of approval under section 80G(5)(iii) due to its religious expenditure exceeding the 5% limit. The trust incurred 38.53% of its income on religious activities, failing to provide evidence of charitable expenditure. The ITAT upheld the Commissioner's decision and dismissed the trust's appeal.

The ITAT Mumbai case involved Hemani Industries Ltd. claiming deduction under Section 80G on donations from CSR funds. The Tribunal ruled that CSR expenses qualify for deduction under section 80G, and the Principal Commissioner's reasoning was misplaced.