Income-tax (Eighth Amendment) Rules, 2026
Show AI Summary
Non-profit organisation mergers require matched registration status, liability succession, object continuity, electronic intimation, audit, and procedural tax compliance.
Rule 189A prescribes conditions for mergers of registered non-profit organisations with the same or similar objects. Cross-mergers between regularly registered and provisionally registered organisations are prohibited. The merged organisation succeeds to the merging organisation's assets, liabilities, tax obligations and pending or future tax proceedings for pre-merger periods. It must preserve its objects for five years, avoid related-person benefit, comply with income-application and investment requirements, and submit Form No. 112A electronically within the prescribed period. Both organisations must obtain an audit of their books of account as on the merger date.