NGOs, trusts and societies to pay thirty percent income tax

PRAYAGRAJ
Non-government organizations (NGOs, Trusts, Society) which do not get fresh registration in the
Income Tax Department will have to pay income tax of 30 percent of the total assets.
Income Tax will send a notice to the operator of the institution after assessing the assets of the
non-government organizations.
In 2021, the Central Government had ordered NGOs across the country to re-register with the
Income Tax Department to get income tax exemption. The central government extended the date for registering institutions five times.
Till  last extended date, the institution operators did not register with the Income Tax Department till September 30.Preparations are being made to tighten the noose on those institutions that do not register.
Non-government organizations get approval for income tax exemption by applying under Section
10(23C), Section 12 AA and Section 80G.
In order to increase transparency and prevent misuse of funds and take full advantage of e governance, the government had issued an order for registration and renewal of institutions.
The Central Government extended the date for registration and renewal several times.
Even after this, 45 percent of the institutions in the country did not get registration and renewal
done.
According to NITI Aayog, there are more than 1.80 lakh  institutions in the country.
About 25 thousand NGOs, trusts and societies are operating in Prayagraj.
In this, the institutions which do not renew will be on the radar of Income Tax.