Government notifies Income Tax Exemption for UIDAI [Read Notification]

The Government has granted income tax exemption for the Unique Identification Authority of India ( UIDAI )  established under the provisions of the AADHAAR Act, 2016 by the Government of India.

The following income of the UIDAI was exempted from Income tax:

1. Grants/Subsidies received from Central Government;
2. Fees/ Subscriptions including RTI Fee, Tender Fee, Sale of Scrap, PVC card;
3. Authentication, Enrolment and Updation service charges received;
4. Term/Fixed Deposits; and (e) Interest on bank deposits.

Also read: CBDT issues New Order Outlining Circumstances for Enquiry and Verification by Verification Unit

However, the income tax exempted only granted UIDAI on following conditions:

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1. shall not engage in any commercial activity;
2. activities and the nature of the specified income shall remain unchanged throughout the financial years; and
3. shall file return of income in accordance with the provision of clause (g) of sub-section (4C) of section 139 of the Income-tax Act, 1961.

Also read: CBDT issues FAQs on New Capital Gains Tax regime proposed in Budget 2024-25

This notification shall be applicable for assessment year 2024-2025, 2025-2026, 2026-2027, 2027-2028 and 2028-2029 relevant for financial year 2023-2024, 2024-2025, 2025-2026, 2026-2027 and 2027-2028 respectively.

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