CBDT notifies District Mineral Foundation Trust eligible for Section 10(46) Income Tax Exemption [Read Notification]

The Central Board of Direct Taxes (CBDT) notified the District Mineral Foundation Trust eligible for exemption under section 10(46) of the Income Tax Act, 1961.

The Board empowered under clause (46) of section 10 of the Income-tax Act, 1961 notified for the purposes of the said clause, District Mineral Foundation Trust as specified in the schedule to this notification, constituted by Government in the exercise of powers conferred under section 9(B) of the Mines and Minerals (Development and Regulation) Amendment Act, 2015 as a ‘Class of Authority’, in respect of the following specified income arising to that Authority namely Contribution by the leaseholder to DMF as per the Mines and Minerals (Contribution to District Mineral Foundation) Rules, 2015; Interest received from leaseholders for late payment; any Penalty charged to leaseholder; Income from Interest on fund available under DMF; interest received on Saving Bank Accounts; and interest received on Excess Fund invested in Term Deposit.

The notification shall be effective subject to the conditions that each of the District Mineral Foundation shall not engage in any commercial activity; activities and the nature of the specified income shall remain unchanged throughout the financial years; and shall file a return of income in accordance with the provision of clause (g) of sub-section (4C) of section 139 of the Income-tax Act, 1961; and shall file the Audit report along with the Return, duly verified by the accountant as provided in explanation to section 288(2) of the Income-tax Act, 1961 along with a certificate from the chartered accountant that the above conditions are satisfied.

This notification shall be deemed to have been applied for the financial years 2017-2018, 2018-2019. 2019-2020, 2020-2021 and shall apply with respect to the financial year 2021-2022 in respect of 165 Trusts.

To Read the full text of the Notification CLICK HERE

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