²11AA . Requirement for approval of institution of fund under clause (vi) of sub-section (5) of section 80G. 

(1) An application for approval under clause (vi) of sub-section (5) of section 80G, the institution or fund (hereinafter referred to as 'the applicant') shall be made in the following Form, namely:

(a) Form No. 10A in case of application under ⁴[clause (i) or sub-clause (A) of”] clause (iv) of first proviso to subsection (5) of section 80G to the Principal Commissioner or Commissioner authorised by the Board; or

⁵[(b) Form No. 10AB in case of application under clause (ii) or clause (iii) or sub-clause (B) of clause (iv) of the first proviso to sub - section (5) of section 80G to the Principal Commissioner or Commissioner authorised under the said proviso.]

(2) The application under sub-rule (1) shall be accompanied by the following documents, as required by Form Nos. 10A or 10AB, as the case may be, namely:—

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

(b) 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 applicant;

(c) 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;

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

(e) self-certified copy of existing order granting registration under clause (vi) of subsection (5) of section 80G;

(f) self-certified copy of order of rejection of application for grant of approval under clause (vi) of sub-section (5) of section 80G, if any;

(g) 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;

(h) note on the activities of the applicant. (3) Form Nos. 10A or 10AB, as the case may be, shall be furnished electronically, —

(i) under digital signature, if the return of income is required to be furnished under digital signature;

(ii) through electronic verification code in a case not covered under clause (i). (4) Form Nos. 10A or 10AB, as the case may be, shall be verified by the person who is authorised to verify the return of income under section 140, as applicable to the applicant.

(5) 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 under clause (i) or (iii) of the second proviso read with third proviso of sub-section (5) of section 80G in form 10AC and issue a sixteen digit alphanumeric Unique Registration Number (URN) to the applicants making application as per clause (a) of the sub-rule (1).

(6) If, at any point of time, it is noticed that form 10A has not been duly filled in by not providing, fully or partly, or by providing false or incorrect information or documents required to be provided under sub-rule (1) or (2) or by not complying with the requirements of sub- rule (3) or (4), the Principal Commissioner or Commissioner, as referred to in sub-rule (5), after giving an opportunity of being heard, may cancel the approval granted in Form No. 10AC and Unique Registration Number (URN), issued under sub-rule (5),and such approval or such Unique Registration Number (URN) shall be deemed to have never been granted or issued.

⁶[(7) In case of an application made under,-

(i) clause (iv) of the first proviso to sub-section (5) of section 80G as it stood immediately before its amendment vide the Finance Act, 2023,; or  

(ii) sub-clause (A) of clause (iv) of first proviso to sub-section (5) of section 80G,

 the provisional approval shall be effective from the assessment year relevant to the previous year in which such application is made.]

(8) In case of an application made in Form No. 10AB under clause (ii) of the sub-rule (1), the order of approval or rejection or cancellation under second proviso to sub-section (5) of section 80G shall be in Form No. 10AD and in case if the approval is granted, sixteen digit alphanumeric number Unique Registration Number (URN) shall be issued, by the Principal Commissioner or Commissioner referred to in second proviso to sub-section (5) of section 80G.

(9) The Principal Director General of Income-tax (Systems) or the Director General of Income-tax (Systems), as the case may be, shall:

(i) lay down the data structure, standards and procedure of ,-

(a) furnishing and verification of Form Nos. 10A or 10AB, as the case may be;

(b) passing the order under second proviso to sub-section (5) of section 80G.

(ii) be responsible for formulating and implementing appropriate security, archival and retrieval policies in relation to the said application made or order so passed as the case may be..

Notes:-

1. Substitution by the Substituted by the IT (Sixth Amendment) Rules, 2019, w.e.f. 5-11-2019

Earlier rule prior to substitution read as under

[Requirements for approval of an institution or fund under section 80G.

11AA . (1) The application for approval of any institution or fund under clause (vi) of sub-section (5) of section 80G shall be in Form No. 10G and shall be made in triplicate.

(2) The application shall be accompanied by the following documents, namely :—

(i) Copy of registration granted under section 12A or copy of notification issued under section 10(23) or 10(23C) ;

(ii) Notes on activities of institution or fund since its inception or during the last three years, whichever is less ;

(iii) Copies of accounts of the institution or fund since its inception or during the last three years, whichever is less.

(3) The Commissioner may call for such further documents or information from the institution or fund or cause such inquiries to be made as he may deem necessary in order to satisfy himself about the genuineness of the activities of such institution or fund.

(4) Where the Commissioner is satisfied that all the conditions laid down in clauses (i) to (v) of sub-section (5) of section 80G are fulfilled by the institution or fund, he shall record such satisfaction in writing and grant approval to the institution or fund specifying the assessment year or years for which the approval is valid.

(5) Where the Commissioner is satisfied that one or more of the conditions laid down in clauses (i) to (v) of sub-section (5) of section 80G are not fulfilled, he shall reject the application for approval, after recording the reasons for such rejection in writing :

Provided that no order of rejection of an application shall be passed without giving the institution or fund an opportunity of being heard.

(6) The time limit within which the Commissioner shall pass an order either granting the approval or rejecting the application shall not exceed six months from the [end of the month in] which such application was made :

Provided that in computing the period of six months, any time taken by the applicant in not complying with the directions of the Commissioner under sub-rule (3) shall be excluded.]

2. Substituted by Income-tax (6th Amendment) Rules, 2021 w.e.f 01.04.2021 Notification dated 26.03.2021

Earlier rule prior to substitution read as under

¹[Requirements for approval of an institution or fund under section 80G.

11AA . (1) For approval under clause (vi) of sub-section (5) of section 80G, the institution or fund (hereinafter referred to as 'the applicant') shall be required to file application in Form No 10G, which shall be verified by the person who is authorised to verify the return of income under section 140, as applicable to the assessee.

(2) Form No. 10G shall be furnished electronically,—

(3) The Principal Director General of Income-tax (Systems) or the Director General of Income-tax (Systems), as the case may be, shall lay down the data structure, standards and procedure of furnishing and verification of Form No. 10G and shall be responsible for formulating and implementing appropriate security, archival and retrieval policies in relation to the said form so furnished.

(4) The Principal Commissioner or Commissioner may call for such further documents or information from applicant or cause such inquiries to be made as he may deem necessary in order to satisfy himself about the genuineness of the activities of the applicant.

(5) Where the Principal Commissioner or Commissioner is satisfied that all the conditions laid down in clauses (i) to (v) of sub-section (5) of  section 80G are fulfilled by the applicant, he shall record such satisfaction in writing and grant approval under clause (vi) of sub-section (5) of  section 80G.

(6) Where the Principal Commissioner or Commissioner is satisfied that one or more of the conditions laid down in clauses (i) to (v) of sub-section (5) of  section 80G are not fulfilled, he shall record the reasons in writing and reject the application for approval after giving the applicant an opportunity of being heard.

(7) The order granting approval under clause (vi) of sub-section (5) of  section 80G or rejecting the application shall be passed within the period of six months from the end of the month in which such application was received.]

 3. Substituted by Income-tax (7th Amendment) Rules, 2021 , Notification No. 34/2023 dated 30th may 2023

for sub-rule (7)

(7) In case of an application made under clause (iv) of first proviso to sub-section(5) of section 80G, the provisional approval shall be effective from date of order, as referred to in sub- rule (5).

the following shall be substituted namely

[“(7) In case of an application made under clause (iv) of the first proviso to sub-section (5) of section 80Gof the Act, the provisional approval shall be effective from the assessment year relevant to the previous year in which such application is made.”]

4. Substituted by the Income-tax (Eleventh Amendment) Rules, 2023 Notification No. 45/2023 dated 23.06.2023

in sub-rule (1), in clause (a), for the words-

“clause (i) or”

the following shall be substituted namely

“clause (i) or sub-clause (A) of”  

5. Substituted by the Income-tax (Eleventh Amendment) Rules, 2023 Notification No. 45/2023 dated 23.06.2023

for clause (b)-

(b) Form No. 10AB in case of application under clause (ii) or clause (ii) of first proviso to subsection (5) of section 80G to the Principal Commissioner or Commissioner authorised under the said proviso.

the following shall be substituted namely

“(b) Form No. 10AB in case of application under clause (ii) or clause (iii) or sub-clause (B) of clause (iv) of the first proviso to sub - section (5) of section 80G to the Principal Commissioner or Commissioner authorised under the said proviso."

6. Substituted by the Income-tax (Eleventh Amendment) Rules, 2023 Notification No. 45/2023 dated 23.06.2023

for sub-rule (7)-

³[“(7)  In case of an application made under clause (iv) of the  first  proviso to sub-section (5) of section 80G of the Act, the provisional approval shall be effective from the assessment year relevant to the previous year in which such application is made.”]

The following shall be substituted namely

“(7) In case of an application made under,-

(i) clause (iv) of the first proviso to sub-section (5) of section 80G as it stood immediately before its amendment vide the Finance Act, 2023,; or  

(ii) sub-clause (A) of clause (iv) of first proviso to sub-section (5) of section 80G,

 the provisional approval shall be effective from the assessment year relevant to the previous year in which such application is made.”;