Form 108 – Frequently Asked Questions

Form of exercise of option under section 341(7) of the Income-tax Act, 2025

Name of form as per I.T. Rules, 1962	Form 9A	Name of form as per I.T. Rules, 2026	FN 108
Corresponding section of I.T. Act, 1961	Explanation to sub-section (1) of section 11	Corresponding section of I.T. Act, 2025	341(7)
Corresponding Rule of I.T. Rules, 1962	17(1)	Corresponding Rule of I.T. Rules, 2026	RN 184(1)

1: What is FN 108 ?

Ans: FN 108 is a statement to be furnished electronically/digitally by a registered non-profit organisation that could not apply 85% of its income due to non-receipt of such income during the relevant tax year and is willing to exercise option u/s 341(7) of the I.T. Act, 2025 for such amount to be treated as deemed application as per 341(5) of the I.T. Act, 2025

2: Who should file FN 108?

Ans: Any registered non-profit organisation willing to exercise option to make claim in respect of shortfall in application of income as deemed application in accordance with provisions of section 341(5) of the IT Act, 2025 is required to file FN 108.

3: Is FN 108 mandatory?

Ans: FN 108 is mandatory for registered non-profit organisation to claim shortfall of application of income as deemed application in accordance with provisions of section 341(5) of the IT Act, 2025.

4: What is the time limit for filing FN 108?

Ans: FN 108 is required to be filed on or before the due date of filing of return of income for the concerned tax-year under section 263(1) of the IT Act, 2025.

5: Where can I file FN 108 and to which authority is it required to be furnished to ?

Ans: FN 108 is required to be furnished electronically to Commissioner of Income Tax (CPC) on the e-filing portal.

6 : What happens after I file FN 108 ?

Ans: Upon successful filing of FN 108, the registered non-profit organisation may claim such reported amount of shortfall in application of income in FN 108 as deemed application in the return of income filed subsequently.

7: Can I edit FN 108 after submission?

Ans: No. Once FN 108 is submitted, it cannot be edited. Ensure all details are correct before submission.

8: While filling Part A of FN 108, can I leave PAN blank?

Ans: A valid PAN is mandatory for all applicants filling the form and FN 108 cannot be filed in absence of PAN.

9: Can FN 108 be filed offline?

Ans: No. FN 108 can only be submitted online through the Income Tax e-Filing portal.

10: Why is FN 108 important?

Ans: FN 108 is important to file within prescribed time limits as non-filing/ delayed filing shall result in losing the benefit of claiming exemption on account of deemed application of income thereby bringing such income to tax.

Deemed application of income under FN 108 requires timely online filing by registered non-profit organisations. Registered non-profit organisations may use FN 108 as the electronic statement for exercising the option to treat a shortfall in application of income as deemed application where income could not be applied because it was not received during the relevant tax year. The form is mandatory for such a claim, must be filed online by the return filing due date, requires a valid PAN, and cannot be edited after submission.