District Mineral Foundation Trust exempted from Income Tax

The Central Government vide notification dated 4th October, 2023 has exempted ‘District Mineral Foundation Trust’ from income tax with respect to following income :

1. Contribution by lease Holder to DMF as per the Mines and Minerals (Contribution to District Mineral Foundation) Rules, 2015;
2. Interest received from lease holders for late payment;
3. Any Penalty charged to lease holder;
4. Income from Interest on fund available under DMF;
5. Interest received on Saving Bank Accounts; and
6. Interest received on Excess Fund invested in Term Deposit.

Subject to following conditions:

1. Shall not engage in any commercial activity;
2. Activities and the nature of the specified income shall remain unchanged throughout the financial years; and
3. Shall file return of income.

This notification shall be deemed to have been applied for the assessment year 2023-2024 relevant to financial year 2022-2023 and shall be applicable for assessment years 2024-2025 to 2027-2028 relevant to financial years 2023-2024 to 2026-2027.