Tag Archives: educational institutions

regn process for charitable institutions

CBDT has introduced procedure for online registration of trusts or not for profit companies or societies which are involved in the education sector or hospitals or medical education sector or charitable or religious trusts to apply for exemption of their income from tax under certain conditions to be fulfilled.

This comes under section 10(23C) of the income tax act, and also section 80G applications and section 12A – this pertains to religious or charitable trusts.

Detailed list of documentation required in case of charitable and religious trusts are as under:

(2) The application under sub-rule (1) shall be accompanied by the following documents, as required by Form Nos.10A or 10AB, as the case may be, namely:—
(a) where the applicant is created, or established, under an instrument, self-certified copy of such instrument creating or establishing the applicant;
(b) where the applicant is created, or established, otherwise than under an instrument, self-certified copy of the document evidencing the creation or establishment of the applicant;
(c) 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;
(d) self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010(42 of 2010), if the applicant is registered under such Act;
(e) self-certified copy of existing order granting registration under section 12A or section 12AA or section 12AB, as the case may be;
(f) 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;
(g) where the applicant has been in existence during any year or years 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 (not being more than three years immediately
preceding the year in which the said application is made) for which such accounts have been made up;
(h) where a business undertaking is held by the applicant as per the provisions of sub-section (4) of section 11 and the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of such business undertaking relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up and self-certified copy of the report of audit as per the provisions of section 44AB for such period;
(i) where the income of the applicant includes profits and gains of business as per the provisions of sub-section (4A) of section 11 and the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of such business relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up and self-certified copy of the report of audit as per the provisions of
section 44AB for such period;
(j) self-certified copy of the documents evidencing adoption or modification of the objects;
(k) note on the activities of the applicant.

If, at any point of time, it is noticed that Form No. 10A has not been duly filled in by not providing, fully or partly, or by providing false or incorrect information or documents required to be provided under sub-rules (1) or (2) or by not complying with the requirements of sub-rules (3) or (4), the Principal Commissioner or Commissioner, as referred to in sub-rule (5), after giving an opportunity of being heard, may cancel the registration in Form No. 10AC and Unique Registration Number (URN), issued under sub-rule (5), and such registration or such Unique Registration Number (URN) shall be deemed to have never been granted or issued.

In one of my cases of application made under section 12A, the Commissioner summarily rejected the application without providing an opportunity of being heard. They purportedly sent an e-mail asking for more documentation (so that’s it, they keep on asking for documents which is not in the list above)

One of my application is filed electronically on 10/2/2021 yet nothing is heard from them so far. I have filed a grievance under Income Tax Sampark on 15th March, yet mum is the word. Now one fine morning, they will just reject the application without any basis whatsoever.

That is the problem if the government mistrusts every body else. By government i mean the bureacracy or babus as they are fondly called in India thinks everybody is a criminal and needs to be treated accordingly.

The copy of the above notification can be found on the CBDT site.

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