THE GAZETTE OF INDIA: EXTRAORDINARY

[PART II—Snc.3(ii)]

MINISTRY OF FINANCE

(Department of Revenue)

(CENTRAL BOARD OF DIRECT TAXES)

NOTIFICATION

New Delhi, the 21st August, 2002

INCOME TAX

S.O. 893(E).—In exercise of powers conferred by Section 295 read with clause(5C) of Section 80G of the Income-

tax Act,l%l (43 ofl961), the Central Board ofDirect Taxes hereby makes the following amendment to Income-tax Rules,

1962, namely—

1 (1)

These rules may be called the Income-tax (22nd Amendment) Rules, 2002.

(2)

They shall be deemed to have come into force on the 3rd day of February 2002

2. In the Income-tax Rules, 1962,—

(1) after rule 18AAA, the following shall be inserted, namely:—

"Prescribed authority for the purpose of receiving separate accounts from trusts or funds or institutions for

providing relief to the victims of earthquake in Gujarat

18 AAAA. (1) For the purpose of Sub-section (5C) of Section 80G, the prescribed authority shall be the Director

General of Income-tax (Exemptions).

(2) The trust, the fund or the institution, which is established in India for a charitable purpose and is approved

in terms of clause (vi) of Sub-section (5) shall maintain separate accounts of income and expenditure for

providing relief to the victims of earthquake in Gujarat and get such accounts audited by an accountant, as defined

in the Explanation to Sub-section (2) of Section 288 and furnish the report of such audit, duly signed and verified

by such accountant to the Director General of Income-tax (Exemptions) in Form No. 10AA. Such authority, on

receipt of the accounts in the said form, shall give the finding as to whether the donations received for the purpose

of providing relief to the victims of earthquake in Gujarat are chargeable to tax in the hands of the trusts or the fund

or the institution under clause (23 C) of Section 10 or under Section 12 or not, as the case may be, and determine the

extent thereof

(3) Where the findings of the Director General oflncome-tax (Exemptions) are not beneficial to the assessee, such

authority shall give an opportunity to the assessee before making the findigs.

(4) The Director General oCTncomc-tax (Exemptions) shall bring his findigs to the knowledge of the concerned

assessing officer within one month of making such findings.";

(ii)

In Appcndix-Il, after Form Number 10A. the following Form shall be inserted, namely :—

"FORM NO. 10AA

[Sec rule 18AAAA1

Details of accounts under section 80G(5C)(v) of the Income-tax Act, 1961, for providing relief to the victims of

earthquake in Gujarat

GENERALDETAILS

(a)

Name and address of the trust/fund/institution:

(b)

Registration No/Date:

—

————

(c)

Permanent Account No. •

(d)

Authority granting approvalunder section 80-G .

— .

(c)

Number and date of approval —

—

DETAILS OF PROJECT FOR GUJARAT EARTHQUAKE RELIEF

(a)

Nature of project:—•—•*—

— - — —

—

(b)

Date of commencement:—

———

(c)

Dale of completion'—

——-•—

(d)

Amount raised by donation.

—

(c)

Branch-wise Bank Account numbers in which donations received.

III

DETAILS OF OTHER PROJECTS BEING RUN BY THE TRUST/FUND/INSTITUTION

DURING 26-1-2001 TO 31-3-2003

Name of the project

Nature

Date of commencement

Date of completion

• (a)

— —

(b)

—

•

(c)

(d)

DETAILS OF RECEIPTS. DURING 26-1-2001 TO 30-9-2001 (In Rs.)

(i)

Total receipts:

(hit ofwhich

(ii)

Amount received through donations :•••

Out of'which

(iii)

Amount received through donations for Gujarat earthquake relief: ,^^_^__^___ „

Out of'which

(h)

Amount .spent on or heforc 31-3-2003 for the purpose of Gujarat earthquake relief:

(v)

Amount unutilised, which is transferred to Prime Minister's National Relief Fund on or before 31-3-2003:

(M)

Amounts not spent for Gujarat earthquake relief:

(vii)

Amount unutilised, which is transferred to Prime Minister's National Relief Fund after 31-3-2003:

(viii)

Amount received through donations for Gujarat earthquake relief after 30-9-2001:

(ix)

Amount of donations received for Gujarat earthquake relief, which is chargeable to tax under section 12 or

section 10(23C):

——

—

0-t>l76tfa%-'±

THE GAZETTE OF INDIA. EXTRAORDINARY

[PAKTII—Sisr\3(ii)|

DETAILS OF EXPENDITURE DURING 26-1-2001 TO 30-9-2001 (In Rs.)

(Please enclose copy ofapproval)

ftcm

Total amount paid

Date of last payment

(i)

Provision of medical relief:

_ _ _ _ _

(ii)

Construction of houses and buildings:

—

(iii)

Towards education & building of schools etc. :

(iv)

Infrastructure creation:

—

— —

(v)

Any other purpose (please specify).

—

•I/We have examined the books of accounts including the balance sheet and the profit and loss account of the

Irusl/fund/inslitution

——

(Permanent Account No.

-) relating to

period for which donations were received and utilised by the said trust/fund/institution for the purpose of Gujarat

earthquake relief work.

* I/We have obtained all the information and explanations which to the best of •my/our knowledge and belief were

necessary for the purposes of the audit In * my/our opinion, separate books of account have been kept by the

asscsscc in respect of donations received and utilised for the purpose of Gujarat earthquake relief work.

In *my/our opinion and to the best of *my/our information and according to explanations given to *me/our

opinion and to the best of *my/our information and according to explanations given to *me/us, the said accounts

give a true and fair view

Place

Dote

Signed

Accountant"

[Notification No. 228/2002/F.No. 142/21/2002-TPL]

DR. DHEERAJ BHATNAGAR,

Director (TPL-II)

EXPLANATORY MEMORANDUM

Section 80G of the Income Tax Act, 1961 provides for deduction on account of donation made to certain eligible

trusts, funds or institutions In respect of certain trusts, funds or institution the deduction is available at 100% of the

amount of donation, while for others the deduction is available at 50%.

2. Following the Gujarat earthquake on 26th January, 2001 the Taxation Laws (Amendment) Ordinance. 2001 was

brought in on 3rd February. 2001. The amendment had the effect of providing deduction under section 80G at the rate of

100% in case of donations made on or before 30th September, 2001 to certain approved charitable trusts, funds or

institutions, for the purpose of relief to the victims of Gujarat earthquake. Subsequently, the Taxation Laws

(Amendment) Act was passed by the Parliament The Finance Bill, 2002 has extended the date of utilization of such

funds from 3 1 -3-2002 to 3 1 -3-2003.

3 Consequently, the Final date for the transfer of unutilised funds, if any, to Prime Minister's Relief Fund has also

been extended from 31 -3-2002 to 31 -3-2003.

4 The notification prescribes that the Director General of Income Tax (Exemptions) would be the authority under

the new rule The notification also prescribes that separate accounts of Income and Expenditure for providing relief to the

victims of earthquake in Gujarat are to be maintained and such accounts are to be audited by a Charatcred Accountant, and

that a report be furnished in form No. 10AA of the Income Tax Rules

5. It is certified that the retrospective application of the new rule I8AAAA of the Income Tax Rules shall not

prejudicially affect the interest of any assessee.

Note: The principal rules were published under Notification No. 960 dated 26lh of March, 1962 which has been amended

from time to lime and the last such amendment was made vide Notification No 207/2002 dated 13-8-2002

Primed by the Manager, Uovt. of India l'ress, Ring Road, Mayapun, New Ddht-110064

and Published by the Controller of Publications. Dclhi-110054.