In Union Budget 2020, Finance Ministry had proposed major amendments for granting exemptions u/s 12AA, 12AB and donation u/s 80G to trust, society or other institutions. Same were postponed due to COVID and other reasons. However on 26th March 2021, Ministry of Finance has notified Income-tax (6th Amendment) Rules, 2021 for the implementation of these amendments.
The said rules shall come into effect from 1st April 2021.
Application to be made for grant of approval
A person in receipt of w income who wants to claim benefit of section 11 & 12 has to make an application in the prescribed form (10A or 10AB) to the Principal Commissioner or Commissioner, for registration of the trust or institution.
Timeline related to new Registration process is elaborated below:-
All trust, societies or institutions that have existing registration under section 12AA need to apply for registration under section 12AB online by 30th June 2021 by filing Form No. 10A. The validity of registration will be for 5 years in all cases except in the case of Provisional Registration, where validity will be for 3 years only.
List of Documents need to be submitted along with Form No. 10A and 10AB (as applicable)
The application from 10A (or 10AB as the case may be) shall be accompanied by the following documents, as required by Form Nos. 10A or 10AB, as the case may be, namely:
Self-certified copy of instrument creating or establishing the applicant;
Self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;
Self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010, if the applicant is registered under such Act;
Self-certified copy of existing order granting registration under section 12A or section 12AA or section 12AB, as the case may be;
Self-certified copy of order of rejection of application for grant of registration under section 12A or section 12AA or section 12AB, as the case may be, if any;
Where the applicant has been in existence during any year prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of the applicant relating to such prior year or years.
self-certified copy of the documents evidencing adoption or modification of the objects;
note on the activities of the applicant.
Changes in new Form 10A or 10AB:
Now applicant need to provide detail of registration on DARPAN Portal or under FCRA Act or any provision of Income-tax Act.
Applicants need to confirm if they have filed Income Tax Return of last assessment year.
Earlier 10G form for 80G registration has been withdrawn, same can be applied now with Form 10A or 10AB as the case may be.
Applicant need to provide detail of Income & Expenditure of Religious Activities engaged in.
To read the bare provisions of the Income Tax Act, please visit
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