When can you apply for 80G exemption certificate?
- Exemption certificate u/s 80G can be applied for just after the registration of NGO/Truest is completed.
Where is 80G certificate to be applied?
- Exemption under section 80G can be applied for at the office of Commissioner of Income-tax (Exemption) having jurisdiction over the institution.
- Income tax department issues 80G certificate only for lifetime. No need to get it renewed.
- Trust/NGO should not have any income (business income) which are not eligible for exemption. lf, the NGO/Trust has such income (business income) then it should maintain separate books of accounts and should not divert donations received for the purpose of trust business.
- Bylaws or objectives of the Trust / NGOs should not contain any provision for spending the income or assets of the NGO/Trust for purposes other than the charitable objectives mentioned in the Trust Deed or Rules of Association.
- NGO/Trust should not be working for the benefit of particular religious community or caste.
- NGO/Trust maintains regular accounts of its receipts & expenditures.
- NGO/Trust is properly registered under the Societies Registration Act 1860 or under any law corresponding to that act or is registered under section 25 of the Companies Act 1956.
- Trustees or governing body members are not drawing any undue benefits from NGO/Trust funds.
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