CBDT amends rules for Registration of Charitable Trusts and Form 10A and Form 10AB

CBDT amends rules for Registration of Charitable Trusts and Form 10A and Form 10AB

CBDT has notified Income-tax (Eleventh Amendment) Rules, 2023 amending rules for Registration of Charitable Trusts and Form 10A and Form 10AB.

MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)

Notification No. 45/2023

New Delhi, 23rd June, 2023

INCOME-TAX

G.S.R. 457(E).—In exercise of the powers conferred by clauses (i), (ii), (iii) and (iv) of the first proviso to
clause (23C) of section 10, ninth proviso to clause (23C) of section 10, clause (b) of the tenth proviso to clause (23C) of section 10, sub-clauses (i) (ii), (iii), (iv), (v) and (vi) of clause (ac) of sub-section (1) of section 12A, sub-clause (ii) of clause (b) of sub-section (1) of section 12A, sub-section (3) of section 12AB, clauses (i), (ii), (iii) and (iv) of the first proviso to sub-section (5) of section 80G, third proviso to sub-section (5) of section 80G read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-

1. Short title and commencement. (1) These rules may be called the Income-tax (Eleventh Amendment) Rules, 2023.

(2) Save as otherwise provided in these rules, they shall come into force from the 1st day of October, 2023.

2. In the Income-tax Rules, 1962 (hereafter referred to as the principal rules),—
(a) in rule 2C,-

(i) in sub-rule (1), –

(I) in clause (i), for the words, brackets and figure “clause (i) or”, the words, brackets, figure and letter “clause (i) or sub-clause (A) of ” shall be substituted;

(II) in clause (ii), for the word, brackets and figures “clause (iii)”, the words, bracket, figures and letter “clause (iii) or sub-clause (B) of clause (iv)” shall be substituted;

(ii) in sub-rule (7), for the word and figures “section 10”, the words and figures “section 10 as it stood immediately before its amendment by the Finance Act, 2023,” shall be substituted;

(b) in rule 11AA,-

(i) in sub-rule (1),-

(I) in clause (a), for the words, brackets and figure “clause (i) or”, the words, brackets, figure and letter “clause (i) or sub-clause (A) of” shall be substituted;

(II) for clause (b), the following sub-clause shall be substituted, namely:-

“(b) Form No. 10AB in case of application under clause (ii) or clause (iii) or sub-clause (B) of clause (iv) of the first proviso to sub – section (5) of section 80G to the Principal Commissioner or Commissioner authorised under the said proviso.” ;

(ii) for sub-rule (7), the following sub-rule shall be substituted, namely:-

“(7) In case of an application made under,-

(i) clause (iv) of the first proviso to sub-section (5) of section 80G as it stood immediately before its amendment vide the Finance Act, 2023,; or

(c) in rule 17A,-

(i) in sub-rule (1),-

(I) in clause (i), for the words, brackets and figure “sub-clause (i) or”, the words, brackets, figure and letter “sub-clause (i) or item (A) of sub-clause” shall be substituted;

(II) in clause (ii), for the word, brackets and figure “or (v)”, the words, brackets, figures and letter “or (v) or item (B) of sub-clause (vi)” shall be substituted;

(ii) in sub-rule (7), for the word, figure and letter “section 12A” the words, figures and letter “section 12A as it stood immediately before its amendment vide the Finance Act, 2023,” shall be substituted.

3. In the principal rules, in the APPENDIX II, –

(a) in Form No. 10A, –

(i) below the table and before the heading “Notes to fill Form No. 10A”, for the portion beginning with the words “ I_, son/daughter of” and ending with the words

“Date                                                     Signature” ,

the following shall be substituted, namely:-

“I _,son/daughter of ,hereby declare that the details given in the form are true and correct to the best of my knowledge and belief.

I undertake that I am applying for registration/approval (strike out whichever is inapplicable) under the section code 2/7/ 8/9/10/12 and the activities of the …………… ( Name of the institution, trust or fund) having permanent account number (PAN)………….. have not commenced on or before the date of making this application.

I further undertake to communicate forth with any alteration in the terms of the trust/society/non- profit company, or in the rules governing the Institution, made at any time hereafter. I also declare that I am filing this form in my capacity as………….(designation) having PAN…………..and that I am competent to file this form and verify it.

Date :                    Signature
Or ( for codes 1/3/4/5/6/11)

I……….,son/daughter of…………. ,hereby declare that the details given in the form are true and correct to the best of my knowledge and belief.

I undertake to communicate forth with any alteration in the terms of the trust/society/non-profit company, or in the rules governing the Institution, made at any time hereafter. I further declare that

I am filing this form in my capacity as……….(designation) having permanent account number………….and that I am competent to file this form and verify it.

Date:                                        Signature
(strike whichever is inapplicable)”;

(ii) Under the heading “Notes to fill Form No. 10A”, for serial number 2., the following shall be substituted, namely:- “ 2. Application for registration under section 10(23C)/ 12A/80G/select one of the following code in row 2

………………………..

………………………..

(b) in Form No. 10AB

• SC explains meaning/scope of reason to believe u/s 147 and change of opinion by AO
• Registration u/s 12AB granted as activities fall under general public utility, if not education as claimed
• How a loan amount was utilised wouldn’t constitute failure to discharge onus u/s 68
• No addition based on third party information in form of unsigned excel sheet – ITAT
• Shagun money received on occasion of marriage not taxable income – ITAT