Karma yogi Bharat exempted from Income Tax u/s 10(46): CBDT [Read Notification]

Karmayogi Bharat, a company formed under Section 8 of the Companies Act, 2013, and entirely owned by the President of India through 100% equity shares, has been granted income tax exemption under Section 10(46) of the Income Tax Act, 1961. This exemption has been officially communicated by the Central Board of Direct Taxes (CBDT) through notification no. S.O. 79(E) dated January 5th, 2024.

The following incomes are exempted from income tax:

• Grants/subsidies received from the Government/ Government bodies;
• Subscription Charges/Fees, Assessment fees, On boarding fees;
• Receipts from sale of forms, materials, disposal of scrap and tender fee; and
• Interest earned from Banks and Government Securities and Bonds.

However, the notification shall be effective subject to the conditions that Karmayogi Bharat:

• 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 return of income in accordance with the provision of clause (g) of sub-section (4C) of section 139 of the Income-tax Act, 1961.

About Karmayogi Bharat

Mission Karmayogi has established a robust Institutional Framework to effectively achieve its goals. The Special Purpose Vehicle (SPV), Karmayogi Bharat, is a vital component of this framework. Its primary purpose is to operate the iGOT Karmayogi platform, oversee overall governance, and ensure civil service officials can engage in anytime, anywhere, any-device learning to enhance their competency.

Established on January 31, 2022, under Section 8 of the Companies Act, 2013, as a 100% Government-owned not-for-profit Company, Karmayogi Bharat will manage the iGOT Karmayogi platform and other related digital assets. It is responsible for ownership, management, maintenance, and enhancement of digital assets, including the iGOT-Karmayogi e-learning platform, with a revenue model based on annual subscriptions.

To Read the full text of the Notification CLICK HERE

Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates