Raising of prescribed limit for exemption under sub-clause (iiiad) and (iiiae) of clause (23C) of section 10 of the Act

Exemption threshold for receipts on behalf of educational and hospital institutions expanded, widening small trust eligibility from next assessment year.

Amendment raises the prescribed annual receipts limit that determines entitlement to the exemption under sub-clauses (iiiad) and (iiiae) of clause (23C) of section 10 for income received on behalf of universities/educational institutions and hospitals/institutions. The increased threshold applies to aggregate receipts from the specified institutions, expanding eligibility for small trusts and institutions. The amendment takes effect from 1 April 2022 and applies to the assessment year 2022-23 and subsequent assessment years.