Rule 17AA Books/documents to be kept by Charitable Trusts/other Institution

Rule 17AA Books of account and other documents to be kept and maintained by Charitable Trusts/other Institution – CBDT Notification

Section 12A related to eligibility of charitable trusts and/or Institutions has been amended. Clause (b) of sub-section (1) of section 12A by the Finance Act, 2022 had been amended w.e.f. 1-4-2023 to state that to be eligible for exemption u/s 11 or 12 of the Act, the books of account and other documents should be kept and maintained in such form and manner and at such place, as may be prescribed.

Similarly, tenth proviso to clause (23C) of section 10 had also been amended  to provide that in order to claim exemption u/s 10(23C) of the Act the fund, institution, trust, any university, educational institution, hospital or other medical institution shall keep and maintain books of account and other documents in such form and manner and at such place, as may be prescribed.

Today, CBDT has notified Income-tax (24th Amendment) Rules, 2022 to amend the Income-tax Rules, 1962.

A new Rule namely Rule 17AA Books of account and other documents to be kept and maintained has been introduced which is applicable for every fund or institution or trust or any university or other educational institution or any hospital or other medical institution as above. 

Apart from Books of accounts, record of all the projects and institutions, record of income from different sources, application of income, income accumulated or set apart, money invested or deposited, record of voluntary contribution, corpus, received, record of loans and borrowings, record of specified persons etc.

The books of accounts and other documents may be kept in written form or in electronic form or in digital form or as print-outs of data stored in electronic form or in digital form or any other form of electromagnetic data storage device. The books of account and other documents specified in sub-rule (1) shall be kept and maintained by the fund or institution or trust or any university or other educational institution or any hospital or other medical institution at its registered office.

However, all or any of the books of account and other documents as referred to in sub-rule (1) may be kept at such other place in India as the management may decide by way of a resolution and intimation to the jurisdictional Assessing Officer in writing.

The books of account and other documents shall be kept and maintained for a period of ten years from the end of the relevant assessment year.

Download CBDT Notification No. 94/2022 Click Here >>

• Penalty u/s 271B for unfilled column 40 in Tax Audit Report Form 3CD deleted by ITAT
• Merely ex-parte rectifying computation without amending assessment order not make it nullity- ITAT
• Once assessee discharges primary onus, it shifts to AO to bring evidence to contrary – ITAT
• Cost Inflation Index for FY/Tax Year 2026-27 notified by CBDT. See Up-to-date Table of CII
• Power of CIT(A) u/s 251(1)(a) to remand case can be exercised only in best judgment assessment