Universities and hospitals – income tax exemption – cosmetic changes
As per Clauses (vi) and (vi a) of clause (23C) of section 10 of the IT Act, universities and certain hospitals approved by the prescribed authority are exempted from income tax. Prior to 3rd April 2001, the prescribed authority was the CBDT and after that the Chief Commissioner or Director General. Now the rules are amended to make the Chief Commissioner or Director General, the prescribed authority even for the period prior to 3rd April 2001 in cases where the Board is yet to pass orders on the applications. Consequential changes are made in the application Form No. 56D.
Similar changes are made in respect of Charitable and Religious Trusts and Rule 17A relating to applications for registration of charitable trusts.
NOTIFICATION NO. 193, 194 and 197/2007, Dated: May 30, 2007