Permitted investment modes for accumulated charitable funds specified, and business income exception conditioned on activity and separate accounting. The amendment requires that monies accumulated under section 11 be invested or deposited only in the specified forms and modes listed in new sub section (5), which include certain government savings certificates, Post Office Savings Bank accounts, scheduled bank or cooperative banking accounts, Unit Trust units, Central or State Government securities, government guaranteed debentures, investments in government companies, approved bonds of long term financial corporations and housing finance companies, and immovable property (with a caveat excluding most machinery). It also adds sub section (4A) limiting the non application of subsections (1)-(3A) to business income of trusts or institutions only where specified conditions and separate books of account are met.
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Provisions expressly mentioned in the judgment/order text.
Permitted investment modes for accumulated charitable funds specified, and business income exception conditioned on activity and separate accounting.
The amendment requires that monies accumulated under section 11 be invested or deposited only in the specified forms and modes listed in new sub section (5), which include certain government savings certificates, Post Office Savings Bank accounts, scheduled bank or cooperative banking accounts, Unit Trust units, Central or State Government securities, government guaranteed debentures, investments in government companies, approved bonds of long term financial corporations and housing finance companies, and immovable property (with a caveat excluding most machinery). It also adds sub section (4A) limiting the non application of subsections (1)-(3A) to business income of trusts or institutions only where specified conditions and separate books of account are met.
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