Meaning of "Charitable Purpose" - Section 2(23) & Section 346(New) / Section 2(15)(Old)

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....to the definition as provided under section 2(23) of Income Tax Act, 2025.  Section 345. Restriction on commercial activities by a registered non-profit organisation. A registered non-profit organisation (other than a registered non-profit organisation mentioned in section 346) shall not carry out any commercial activity unless- (a) such commercial activity is incidental to....

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....ar; and (c) separate books of account are maintained by such registered non-profit organisation for such activities. Comparative Analysis: Section 2(15) (Income-tax Act, 1961) vs. Sections 2(23), 345 and 346 (Income-tax Act, 2025) Particulars Section 2(15) - Income-tax Act, 1961 Sections 2(23), 345 & 346 - Income-tax Act, 2025 Definition of charitable purpose "C....

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....purpose if it involves carrying on any activity in the nature of trade, commerce or business, or rendering any service in relation to any trade, commerce or business, for a cess, fee or any other consideration. The restriction is not incorporated in the definition under section 2(23). It is separately dealt with under section 346, which restricts commercial activities of a registered non-pro....

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....ndertaken in the course of actual carrying out of such advancement of any other object of general public utility. Section 346(a) similarly requires that the commercial activity be undertaken in the course of actual carrying out of advancement of an object of general public utility. 20% receipts threshold Aggregate receipts from such activity or activities during the previous year....