FORM 10 AC QUERY U/S 12A

[satbir singhwahi]

Trust registered and commenced work 10.04.2000. Got registration from Income tax u/s 12A. Now on 31.05.2021 received renewal Form AC for Assessment Year 2022-23 to 2026-27. But on form it is written Provisional registration. Whether Trust is eligible for exemption under section 11 as form is provisional but validity upto 31.03.2026. Pls guide what is the resolution.

[Ganesh Bhat]

Hello Sir,

Initially when 12AB was introduced Income tax department has wrongly issued the certificates in the name of "Provisional Registration".

Hence, no need to worry. You are eligible for exemption under section 11 upto AY 2026-27.

AI Summary

Exemption under section 11: trust remains eligible despite a provisional registration label on the renewal form. The renewal Form 10AC issued in 2021 was labelled 'Provisional registration' due to routine administrative practice following introduction of 12AB, but this clerical label does not affect substantive entitlement; the trust remains eligible for exemption under section 11 for the period specified on the renewal certificate.