Trusts get extension: The Central Board of Direct Taxes (CBDT) has announced an extension of the deadline for filing Form 10A/Form 10AB for charitable and religious trusts until June 30. This form is essential for trusts seeking income tax exemption under various sections of the Income-tax Act, 1961. Originally, the due date was extended to September 30, 2023, but it has now been further extended to June 30, 2024.

CBDT's decision comes after considering representations from taxpayers facing genuine hardships. The extension aims to provide relief to trusts, institutions, and funds navigating the registration process under the Income Tax Act.

"Considering the representations received by CBDT requesting for further extension of due date for filing of such forms beyond the last extended date of September 30, 2023, and with a view to avoid genuine hardships to taxpayers, CBDT has extended the due date of filing Form 10A/Form 10AB up to June 30, 2024, in respect of certain provisions of section 10(23C)/ section 12A/ section 80G/ and section 35 of the Act," the CBDT said in a statement.

In India, trusts are categorised as private and public, including religious and charitable trusts.

Trust registration essentials

Form 10A is crucial for charitable or religious trusts seeking registration under Section 12A, enabling them to claim exemptions under Sections 11 and 12. Meanwhile, Form 10B facilitates the filing of audit reports for trusts already registered or applying for registration.

CBDT also clarified that trusts failing to file Form 10A for the assessment year 2022-23 within the extended due date, but subsequently applying for provisional registration and receiving Form 10AC, can now surrender it and apply for registration as an existing entity until June 30, 2024.

Additionally, trusts whose re-registration applications were rejected due to late filing or incorrect section code can submit fresh applications in Form 10AB within the extended deadline.

All applications must be filed electronically through the Income Tax Department's e-filing portal.