Restriction on exemption in case of corpus donation by exempt entities to other exempt entities :
| CLAUSE(S) OF FINANCE BILL, 2017 |
PARTICUL ARS OF AMENDME NTS | SECTION | AMENDMENT / NEWLY INSERTED |
APPLICABLE W.E.F. |
BRIEF OF AMENDMENT |
| 6 & 8 | Restriction on exemption in case of corpus donation by exempt entities to other exempt entities |
Expl.2 to Section 11 &Twelfthprovi so in clause 23(c) of Section 10 |
Newly Inserted | 01/04/2018 (A.Y. 2018-19) |
Current Situation: Corpus Donation given by exempt entities to another exempt entity out of current year receipt/income of such donor is considered application of income in the hands of donor trust but is not considered as income of the recipient trust.
Now, it shall not be treated as application of income in hand of donor trust or other exempted entities. Exempt entities: Entities registered under Section 12AA or under Section 10(23C)(iv)/(v)/(vi)/(via). |