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Understanding Form 10A, Form 10AB, Form 10AC, Form 10AD for Section 12AB, Section 80G, Section 35, Section 10(23C)

understanding-form-10a-form-10ab-form-10ac-form-10ad-for-section-12ab-section-80g--section-35-section-10-23c

The government has changed the registration and approval procedure of trusts and institutions including educational and medical institutions from 1-4-2021.  This covers the procedure of registration and approval under section 12AB, section 80G, section 35 and section 10(23C). For this purpose, CBDT has notified four forms viz., Form No. 10A, Form 10AB, Form 10AC, and Form 10AD vide Notification No. 19/2021 dated 26-03-2021. These forms have definite objectives and their uses are well defined in the notification itself.


    In this article, the intricacies of these four forms are presented in lucid and simple manner for easy understanding. However, it should be noted that the said notification has also notified some other forms viz., Form No. 10BD and Form No. 10BE, apart from these four forms, which are not discussed here.


    Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020 rationalized the procedure relating to approval/ registration/ notification of certain entities referred to in sections 10(23C), 12AA, 35 and 80G of the Act effective from 1st April 2021.



    Understanding Form No. 10A


    Form 10A was notified recently by the CBDT to enable trusts/NGOs to apply for migration of its registration to the new registration scheme as per section 12AB. Henceforth any application for registration of a trust shall be required to be made in form 10A. 


    Note: There used to be an old Form 10A prior to the Notification No. 19/2021 dated 26-03-2021. This notification has substituted the old Form 10A with a new Form 10A. Further the scope of the new Form 10A is widened and covers not only application for registration under section 12AB but also covers section 80G, section 10(23C) and section 35.


    New Form 10A is available for e-Filing on the portal for registration or provisional registration or intimation or approval or provisional approval.


    Further, the same Form 10A is used for approval under section 80G and section 35 under Rule 11AA or 5CA.


    The New Form 10A is used on 8 occasions under the new system covering section 10(23C), section 35(1), section 80G and section 12AB with corresponding Rules- Rule 2C, Rule 5CA, 11AA and Rule 17A respectively. These are-


    Sl. No.

    When Form No. 10A is used

    Section

    Rule

    1

    For existing institutions (fund or trust or institution or university or other educational institution or hospital or other medical institution) which are already approved u/s 10(23C) before 1-4-21

    Clause (i) of first proviso to section 10(23C)

    Rule 2C

    2

    For newly established institutions (fund or trust or institution or university or other educational institution or hospital or other medical institution) which are applying for provisional approval u/s 10(23C)

    Clause (iv) of first proviso to section 10(23C)

    Rule 2C

    3

    Intimation under fifth proviso to sub-section (1) of section 35 by a research association, university, college or other institution

    5th Proviso to Section 35(1)

    Rule 5CA

    4

    For existing trusts or institutions or fund which are already approved u/s 80G before 1-4-21

    Clause (i) of the first proviso to section 80G(5)

    Rule 11AA

    5

    For newly established trusts or institutions or fund which are applying for provisional approval u/s 80G

    Clause (iv) of the first proviso to section 80G(5)

    Rule 11AA

    6

    For existing trusts or institutions which are already registered u/s 12A or u/s 12AA before 1-4-21

    Section 12A(1)(ac)(i)

    Rule 17A

    7

    For newly established trusts or institutions which are applying for provisional registration u/s 12AB

    Section 12A(1)(ac)(vi)

    Rule 17A


    New Form No. 10A notified for registration or approval or intimation from 1-4-2021


    Form 10A is thus used for re-registration or re-approval under section 12AB and section 10(23C) or section 80G for trusts or institutions which are already registered or approved under these provisions prior to 1-4-2021. Besides, it is also used for intimating the approval under section 35(1). 


    New Form 10A is also used by trusts or institutions which are newly established and are applying for registration or approval under section 12A or section 80G, or section 10(23C) or section 35.


    Further, a trust or institution which is in existence for many years but is never registered or approved under section 12A or section 80G, or section 10(23C) or section 35 also required to use the new Form No. 10A. 


    Hence, the new Form No. 10A is used only once in the lifetime of the trust or institution for registration or approval. For subsequent renewal, Form No. 10AB is required to be used.


    The notified new Form No. 10A is appended below-



    FAQs on Form 10A


    The income tax department on its e-filing portal released 11 FAQs on Form 10A which is reproduced below.



    Instructions to fill Form No. 10A


    1. The name, address and contact details, as per the database of the applicant, will be displayed on the screen.

    2. Application for registration under section 12A/80G/10(23C) select one of the following code in row 2

    1

    Sub clause (i) of clause (ac) of sub -section (1) of section 12A

    01

    2

    Sub clause (vi) of clause (ac) of sub-section (1) of section 12A

    02

    3

    Clause (i), of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (iv) of clause (23C) of section 10)

    03

    4

    Clause (i), of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (v) of clause (23C) of section 10)

    04

    5

    Clause (i), of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (vi) of clause (23C) of section 10)

    05

    6

    Clause (i), of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (via) of clause (23C) of section 10)

    06

    7

    Clause (iv) of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (iv) of clause (23C) of section 10)

    07

    8

    Clause (iv) of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (v) of clause (23C) of section 10)

    08

    9

    Clause (iv) of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (vi) of clause (23C) of section 10)

    09

    10

    Clause (iv) of first proviso to clause (23C) of section 10 (for applicants covered under sub-clause (via) of clause (23C) of section 10)

    10

    11

    Clause (i) of first proviso to sub-section (5) of section 80G

    11

    12

    Clause (iv) of first proviso to sub-section (5) of section 80G

    12


    Application for intimation under Fifth proviso to sub-section (1) of section 35, select one of the following code in row 2:

     

    Sr.no

    Category

    Relevant Clause of sub-section(1) of section 35

    Section Code

     

    1.

     

    Research Association

    Clause(ii)

    Scientific Research

    13

    Clause(iii)

    Social Science Research

    14

    Statistical Research

    15

     

    2.

    University, college or other institution

    Clause(ii)

    Scientific Research

    16

    Clause(iii)

    Social Science Research

    17

    Statistical Research

    18

    3.

    Company

    Clause(iia)

    Scientific Research

    19

     

    3. If applicant selects code 11 or 12 in row 2 then option “religious” in row 3 (nature of activities) shall not be applicable.

    4. If applicant selects code 13-19 in row 2 then row 3 (nature of activities) and row 5 (objects) shall not be filled.

    5. Row number 4(b), 4(c) and 4(d) are required to be filled only when the answer to question in row number 4(a) is yes.

    6. For the “objects of the applicant” in row number 5, any one or more of the following are to be selected:

     

    (i)

    Religious

    (ii)

    Relief of poor

    (iii)

    Education

    (iv)

    Medical relief

    (v)

    Yoga

    (vi)

    Preservation of Environment (including watersheds, forests and wildlife)

    (vii)

    Preservation of Monuments or Places or Objects of Artistic or Historic interest

    (viii)

    Advancement of any other objects of general public utility


    7. Answer to question in row number 7 should be yes, if the applicant is registered with Darpan portal or under FCRA 2010. Row number 7(a) to 7(e) are required to be filled, if the answer to question in row number 7 is yes.

    Incorporation/Creation/Registration details provided in row number 4(b), (c) and (d) should not be provided here. If the applicant receives or intends to receive any grant or assistance from either the Central Government or State Government then the registration number with Darpan Portal of the Niti Aayog should be mandatorily provided by the applicant. Registration details are to be provided with respect to all the registrations under Income-tax Act and registration with Darpan portal and under FCRA 2010 as per the following table:

    Relevant Law/PortalTo be enabled when the following codes are selected in row 2Mandatory/Non- mandatoryRegistration No.
    Date from which registration
    is effective
    Date of RegistrationAuthority
    granting
    registration
    Registration u/s 10(23C) clause (iv)/(v)/(vi)/(via) of Income-tax Act, 196103 or 04 or 05 or
    06
    MandatoryNumber of Order granting approvalDate of OrderJurisdiction details of the Income Tax Authority which granted the
    registration is to be provided
    First date of the previous
    year from
    which the
    approval is effective
    Registration u/s 10(46) of Income-
    tax Act, 1961
    01-19Mandatory if notified under section 10( 46)Number of
    Notification by the Central
    Government
    Date of
    Notification
    Central GovernmentDate from
    which such Notification is
    effective
    Registration u/s 12A/AA/AB of Income-tax Act, 196101MandatoryNumber of Order granting registration is to be providedDate of OrderJurisdiction details of the Income Tax Authority which granted the
    registration is to be provided
    First date of the previous
    year from
    which the
    registration is effective
    Registration u/s 35 of Income-tax
    Act, 1961
    13-19MandatoryNumber of
    Notification by the Central Government
    Date of
    Notification
    Central GovernmentFirst date of the previous
    year from
    which the
    Notification is effective
    Registration u/s 80G of Income- tax Act, 196111MandatoryNumber of Order granting registrationDate of OrderJurisdiction details of the Income Tax Authority which granted the
    registration is to be provided
    Date from
    which such registration is effective
    FCRA, 201001-19Mandatory registered FCRAif underRegistration number is to be providedDate of OrderMinistry of Home AffairsDate which approval effectivefrom such is
    Registration number with Darpan portal of Niti Aayog01-19Mandatory if the applicant receives or intends to receive any grant or assistance from either the Central Government or
    State Government
    Registration number is to be providedDate of
    registration
    Niti AayogDate which approval effectivefrom such is
    Others01-19Mandatory if applicant has any other registration under the Income-
    tax Act
    Registration number is to be providedDate of
    registration
    Appropriate authorityDate which approval effectivefrom such is

    8. For row number 9a, column “Relation”, one or more of the following shall be selected:

    a. Author

    b. Founder

    c. Settlor

    d. Trustee

    e. Members of society

    f. Members of the Governing Council

    g. Director

    h. Shareholders holding 5% or more of shareholding

    i. Office Bearer (s)


    9. In row 9a and 9b, in the column, unique identification number, the following should be filled:


    a. If PAN or Aadhar number is available, the same should be mandatorily filled and the following ID code shall be filled:

    Type of Identification

    Code

    PAN

    1

    Aadhar Number

    2

     

    b. If neither PAN or Aadhar is available, one of the following should be filled:

    Type of Identification

    Code

    Taxpayer Identification Number of the country

    where the person resides;

    3

    Passport number;

    4

    Elector's photo identity number

    5

    Driving License number

    6

    Ration card number

    7

     

    10. Row number 11 to 20 are required to be filled if:

    (a) If applicant selects code 02 or 07/08/09/10 or 12 in row 2; or

    (b) If applicant selects code 01, 03/04/05/06 or 11 and option “no” is selected in row no 10.


    11. If applicant selects code 12 in row 2 then row number 21a and 21b are to be filled.


    12. The following documents are required to be attached:


    Section

    code

    Documents required to be attached

    01

    where the applicant is created, or is established, under an instrument, self-certified copy of the instrument;


    where the applicant is created, or is established, otherwise than under an instrument, self-certified copy of the document evidencing the creation, or establishment of the applicant;


    self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010),, if the applicant is registered under such Act;


    self-certified copy of existing order granting registration under section 12A or section 12AA or section 12AB, as the case may be.


    where the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of the trust or institution relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up( to be provided if answer to row 10 is “No”).

    02

    where the applicant is created, or is established, under an instrument, self-certified copy of the instrument;


    where the applicant is created, is established, otherwise than under an instrument, self-certified copy of the document evidencing the creation or establishment of the applicant;


    self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010),, if the applicant is registered under such Act;


    where the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self certified copies of the annual accounts of the trust or institution relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up;


    where a business undertaking is held by the applicant as per the provisions of sub-section (4) of section 11 and the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of such business undertaking relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up and self- certified copy of the report of audit as per the provisions of section 44AB for such period;


    self-certified copy of order of rejection of application for grant of registration under section 12A or section 12AA or section 12AB, as the case may be, if any;

    03/04/05/06

    where the applicant is created, or is established, under an instrument, self-certified copy of the instrument;


    where the applicant is created, or is established, otherwise than under an instrument, self-certified copy of the document evidencing the creation or establishment of the applicant;


    self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010),, if the applicant is registered under such Act;


    self-certified copy of existing order granting registration under clause (23C) of section 10 of the Income- tax Act.


    where the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of the applicant relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up (to be provided if

    answer to row 10 is “No”).

    07/08/09/10

    where the applicant is created, is established, under an instrument, self-certified copy of the instrument;


    where the applicant is created, is established, otherwise than under an instrument, self-certified copy of the document evidencing the creation, or establishment of the applicant;


    self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010),, if the applicant is registered under such Act;


    where the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of the applicant relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up;


    self-certified copy of order of rejection of application for grant of registration under section 10(23C), if any;

    11

    where the applicant is created, or is established, under an instrument, self-certified copy of the instrument;


    where the applicant is created, or established, otherwise than under an instrument, self-certified copy of the document evidencing the creation, or establishment of the applicant6;


    self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010), if the applicant is registered under such Act;


    self-certified copy of existing order granting registration under section 80G of the Income-tax Act.


    where the applicant has been in existence during any year or years prior to the financial year in which the application for registration is made, self-certified copies of the annual accounts of the applicant relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up ( to be provided if answer to row 10 is “No”).

    12

    where the applicant is created, or is established, under an instrument, self-certified copy of the instrument;


    where the trust is created, or the institution is established, otherwise than under an instrument, self- certified copy of the document evidencing the creation of the trust, or establishment of the institution;

    self-certified copy of registration with Registrar of Companies or Registrar of Firms and Societies or Registrar of Public Trusts, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010),, if the applicant is registered under such Act;


    where the applicant or the institution has been in existence during any year or years prior to the financial year in which the application for registration is made, self certified copies of the annual accounts of the applicant relating to such prior year or years (not being more than three years immediately preceding the year in which the said application is made) for which such accounts have been made up;


    self-certified copy of order of rejection of application for grant of registration under section 80G, if any;

    13-19

    where the reporting person is constituted under an instrument, self-certified copy of the instrument;


    where the reporting person is constituted otherwise than under an instrument, self-certified copy of the document evidencing the creation, or establishment of the reporting person;


    self-certified copy of registration with Registrar of Companies or 


    Registrar of Firms and Societies or Registrar of Public Trusts or other registration document, as the case may be;


    self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010),, if the applicant is registered under such Act;


    self-certified copy of existing Notification granting approval under section 35.


    Understanding Form No. 10AB


    Form 10AB was notified recently by the CBDT to enable trusts/NGOs to apply for renewal or conversion of provisional registration to regular registration or approval of its registration or the approval to the new registration scheme as per section 12AB. Henceforth any application for renewal of registration or approval of a trust shall be required to be made in form 10AB. 


    Form No. 10AB notified for registration or approval or intimation from 1-4-2021


    As stated above, the new Form No. 10A is used only for once in the lifetime of the trust or institution for registration or approval. For subsequent renewal, Form No. 10AB is required to be used.


    Sl. No.

    When Form No. 10AB is used

    Section

    Rule

    1

    For renewal of approval u/s 10(23C) of institutions (fund or trust or institution or university or other educational institution or hospital or other medical institution) which is expiring after 5 years

    Clause (ii) of first proviso to section 10(23C)

    Rule 2C

    2

    For newly established institutions (fund or trust or institution or university or other educational institution or hospital or other medical institution) which are applying for regular approval after the expiry of provisional approval u/s 10(23C)

    Clause (iii) of first proviso to section 10(23C)

    Rule 2C

    3

    For renewal of approval u/s 80G of fund or institution which is expiring after 5 years

    Clause (ii) of first proviso to section 80G(5)

    Rule 11AA

    4

    For newly established institutions (fund or trust or institution or university or other educational institution or hospital or other medical institution) which are applying for regular approval after the expiry of provisional approval u/s 10(23C)

    Clause (iii) of first proviso to section 80G(5)

    Rule 11AA

    5

    For renewal of registration u/s 12AB of trusts or institutions which is expiring after 5 years

    Section 12A(1)(ac)(ii)

    Rule 17A

    6

    For newly established trusts or institutions which are applying for regular registration after the expiry of provisional registration u/s 12AB

    Section 12A(1)(ac)(iii)

    Rule 17A

    7

    Where registration of the trust or institution has become inoperative due to the first proviso to Section 11(7)

    Section 12A(1)(ac)(iv)

    Rule 17A

    8

    Where the trust or institution has adopted or undertaken modifications of the objects which do not conform to the conditions of registration

    Section 12A(1)(ac)(v)

    Rule 17A


    The notified Form No. 10AB along with Instructions to fill Form No. 10AB is appended below-



    Note: Form No. 10AB is not yet available for online filing on the income tax portal.


    Understanding Form 10AC


    As stated above, a Trust or institution is required to make an application for re-registration or re-approval under section 10(23C), section 12AB, or section 80G in Form 10A to the Principal Commissioner of Income Tax or Commissioner of Income Tax.


    The Principal Commissioner of Income Tax or Commissioner of Income Tax will pass the order of granting the registration or approval in Form No. 10AC where the application is filed by an applicant in Form 10A.


    As per Rule 2C, Rule 11AA and Rule 17A, on receipt of an application in Form No. 10A, the Principal Commissioner or Commissioner, authorised by the Board shall pass an order in writing granting approval or registration u/s 10(23C), u/s 80G and u/s 12A respectively in Form No. 10AC and issue a 16-digit alphanumeric Unique Registration Number (URN) to the applicants making application in Form 10A.


    Form 10AC was notified recently by the CBDT in which the income tax department will issue the registration or approval where the application is made in Form No. 10A. 


    Understanding Form 10AD


    As stated above, a trust or institution is required to make an application for renewal of registration or renewal of approval under section 10(23C), section 12AB, or section 80G in Form 10AB to the Principal Commissioner of Income Tax or Commissioner of Income Tax.


    The Principal Commissioner of Income Tax or Commissioner of Income Tax will pass the order of granting the registration or approval in Form No. 10AC where the application is filed by an applicant in Form 10AB.


    As per Rule 2C, Rule 11AA and Rule 17A, on receipt of an application in Form No. 10AB, the Principal Commissioner or Commissioner, authorised by the Board shall pass an order in writing granting approval or registration u/s 10(23C), u/s 80G and u/s 12A or rejection or cancellation respectively in Form No. 10AD and issue a 16-digit alphanumeric Unique Registration Number (URN) to the applicants making application in Form 10AB.


    Form 10AD was notified recently by the CBDT in which the income tax department will issue the registration or approval where the application is made in Form No. 10AB.


    Note: It should be remembered that in Form No. 10AC there are provisions of issuing order granting approval or registration only. No order of rejection or cancellation can be passed in Form no. 10AC. However, in case of Form No. 10AD, there are provisions which enable the Pr. CIT/CIT to issue either order granting approval or registration or rejection or cancellation.


    Read Also:

     

    How to file Statement of Donation in Form No. 10BD

    How to issue Certificate of Donation in Form 10BE

    How to File Form 10A for Approval under Section 80G

    Understanding Form 10A, Form 10AB, Form 10AC and Form 10AD for Section 12AB, Section 80G, Section 35, Section 10(23C)

     

    CBDT Notifies Registration Procedure u/s 12AB for NGOs/Trust and Others

     

    Key Highlights of Taxation and Other Laws (Relaxation and Amendment of Certain Provisions) Act, 2020

     

    Section 12AB: Amendments in Procedure for Registration of Charitable Trusts and NGOs

     

    New Section 12AB to replace Section 12AA and Section 12A for Charitable Trust and NGO Budget 2020

     

    An Insight into Amendments for Charitable Trusts –Budget 2020

     

    CBDT extended compliances date for new section 12AB and other Charitable Trusts procedures amid COVID-19




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