https://www.taxtmi.com/caselaws?id=208977 A body qualifies as a local authority under section 10(20) only if it resembles a municipal committee or district board, with separate legal existence, defined territory, real autonomy, statutory civic functions, and power to raise and control funds. Applying that test, the entity here was held not to satisfy the requirement because its board was largely Government-nominated, its activities were focused on integrated rural and agricultural development rather than civic administration, it lacked compulsory levy powers, and its finances remained subject to Government control. It was therefore not a local authority and could not obtain the lower-rate deduction certificate under section 197. en-us Wed, 15 Sep 2010 00:00:00 +0530 Sat, 03 Aug 2013 15:00:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=208977 A body qualifies as a local authority under section 10(20) only if it resembles a municipal committee or district board, with separate legal existence, defined territory, real autonomy, statutory civic functions, and power to raise and control funds. Applying that test, the entity here was held not to satisfy the requirement because its board was largely Government-nominated, its activities were focused on integrated rural and agricultural development rather than civic administration, it lacked compulsory levy powers, and its finances remained subject to Government control. It was therefore not a local authority and could not obtain the lower-rate deduction certificate under section 197. Case-Laws Income Tax Wed, 15 Sep 2010 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=208977