CBDT Amends IT Rule 17CA(4) on Acceptance of Contributions by Electoral Trusts

Income Tax Rule 17CA(4) on Acceptance of Contributions by Electoral Trusts amended by CBDT

The CBDT has amended Income Tax Rule 17CA(4) for denial of exemption to electoral trusts regarding acceptance of contributions from Government company and Foreign Sources, as under:

CBDT Notification No. 92/2016 dt. 7 Oct. 2016 F. No. 142/20/2012-TPL

S.O. 3179(E).—In exercise of the powers conferred by clause (b) of section 13B, read with section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-

1. (1) These rules may be called the Income-tax (27th Amendment) Rules, 2016. (2) They shall come into force on the date of their publication in the Official Gazette*.

2. In the Income-tax Rules, 1962, in rule 17CA, in sub-rule (4),-

(i) in clause (a), the word “and” occurring at the end shall be omitted;

(ii) after clause (b), the following shall be inserted, namely:-

“(c) from a Government company as defined in clause (45) of section 2 of the Companies Act, 2013 (18 of 2013); and

(d) from a foreign source as defined in clause (j) of section 2 of the Foreign Contribution (Regulation) Act, 2010 (42 of 2010).”.

To view or download pdf copy of CBDT Notification, please refer the link below:

CBDT Notification No. 92/2016 dt. 7 Oct. 2016

* Published in official Gazette on 7th Oct. 2016

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