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<h1>Entities Exempted from 'Employer' Definition in Chapter XII-H of Income Tax Act Include Certain Non-Profits and Political Parties.</h1> In Chapter XII-H of the Income Tax Act, 1961, 'employer' is defined as a company, firm, association of persons or body of individuals, local authority, or any artificial juridical person not included in the previous categories. However, entities eligible for exemption under section 10(23C), registered under section 12AA, or political parties registered under section 29A of the Representation of the People Act, 1951, are not considered employers for the purposes of this chapter.