Standardizing process of filing application u/s 10(46) of I-T Act - CBDT Instructions
UNDER Section 10(46) of the Income-tax Act, specified income arising to a body or authority or Board or Trust or Commission, established or constituted by or under a Central or State Act or by a Central or State Government with the object of regulating or administering any activity for the benefit of general public, would be exempt from tax subject to the condition that the said entity is not engaged in any commercial activity. The entity eligible to claim tax exemption u/ s 10(46) is required to be notified by the Central Government in the official Gazette.
Since, at present, there is no uniformity in the manner in which applications under Sec. 10(46) are being filed by applicant, the entities seeking notification under Section 10(46) have been advised to file an application in the standardized format to the Commissioner of Income-tax/Director of Income tax under whose jurisdiction the case of the entity falls. A copy of this application has also to be endorsed to CBDT along with the acknowledgement receipt as evidence of having furnished the same in the office of jurisdictional CIT /DIT.
As the Central Government is the approving authority, the jurisdictional CIT /DIT are required to furnish his/her Comments on each and every point of the standardized tabular format within a reasonable time so as to facilitate CBDT in processing the matter appropriately.
The Board wants that the concerned CCIT would ensure that the report of jurisdictional CIT /DIT as per the eformat must reach the Board within 45 days of the receipt of the application.
Board also wants the field officers to be informed for strict compliance.
CBDT F. No. 196/6/2013-ITA.I, dated: June 24 2013