Income-tax (Sixth Amendment) Rules, 2019 introduced

The Central Board of Direct Taxes (CBDT) on September 05, 2019, has published the Income-tax (Sixth Amendment) Rules, 2019 to further amend the Income-tax Rules, 1962. These amendments shall be effective from 5th November, 2019

The following amendments in the Income-tax Rules, 1962, are as under:

  1. Vide this amendment, rule 2C and 2CA has been substituted, namely:
  2. The principal authority to grant approval for exemption to any fund or trust or institutions or any university or other educational institution or any hospital or other medical institution referred to in section 10(23C) (iv), (v), (vi) and (via) shall be the Principal Commissioner or Commissioner whom the Central Board of Direct Taxes may authorise to act in this behalf
  3. An application for grant of approval for the exemption under section 10(23C) (iv), (v), (vi) and (via) to any fund or institution, any trust or institution, any university or other educational institution and any hospital or other institution shall be made in Form No. 56 and shall be verified by the person who is authorised to verify the return of income under section 140, as applicable to the assessee.
  4. Rule 11AA which speaks about the requirements for approval of an institution or fund under section 80G, where the applicant is required to file application in Form No. 10G which shall be verified by the person who is authorised to verify the return of income under section 140.
  5. Form 56 and Form 10G shall be  furnished electronically under digital signature, if the return of income is required to be furnished under digital signature; or through electronic verification code in a case not covered under clause (i)
  6. The Principal Director General of Income-tax (Systems) or the Director General of Income-tax (Systems), as the case may be, shall lay down the data structure, standards and procedure of furnishing and verification of Form 56 and Form 10Gand shall be responsible for formulating and implementing appropriate security, archival and retrieval policies in relation to the said form so furnished
  7. CBDT Omits Form No. 56D [Application for grant of exemption or continuance thereof under section 10(23C)(vi) and (via) for the year] and further revises following forms-
    • FORM No. 10G -Application for grant of approval to fund or institution under clause (vi) of sub-section (5) of section 80G of the Income-tax Act, 1961
    • FORM No. 56 –Application for grant of the exemption under sub-clauses (iv), (v), (vi) and (via) of clause (23C) of section 10 of the Income-tax Act, 1961

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