CBDT extends income tax exemption to certain non-profit entities

The central government has extended the exemption to income tax under section 10 of the Income-tax Act, 1961 available to non profit organizations to the following entities:

  1. State Legal Service Authority Union Territory Chandigarh
  2. Haryana Building and Other Construction Workers Welfare Board

subject to the fulfilment of the following conditions, namely:

  1. Shall not engage in any commercial activity;
  2. Activities and the nature of the specified income shall remain unchanged throughout the financial year; and
  3. Shall file return of income in accordance with the provision of clause (g) of sub-section (4C) of section 139 of the Income-tax Act, 1961.

This notification shall be deemed to have been applied for assessment years 2020-21 to 2023-2024 relevant for the financial years 2019-20 to 2022-2023 respectively.