The Central Board of Direct Taxes (CBDT) on Wednesday, May 24, extended the due date for furnishing applications by charitable or religious trusts and institutions for re-registration or approval to September 30, 2023. The earlier deadline was November 25, 2022.
The extension has been granted after CBDT received representations stating that several trusts have not been able to apply for registration within the required time due to genuine hardship.
Also, CBDT extended the due date for furnishing of statement of donation and the certificate of donation in respect of the donations received during the financial year 2022-23 to June 30, 2023.
In case of trusts, funds, or institutions seeking provisional approval or provisional registration, the said provisional approval or provisional registration will be effective from the assessment year relevant to the previous year in which the application is made, and will be valid for a period of three assessment years.
Further, the accumulation or deemed application will not be denied to a trust as long as the statement of accumulation or deemed application is furnished on or before the due date of furnishing the return.
However, new trusts are required to apply for provisional registration at least one month prior to the commencement of the previous year relevant to the assessment year from which the said registration is sought. Such provisional registration is valid for a maximum period of three years, CBDT said.
All the existing trusts were required to apply for fresh registration or approval and once the registration or approval is granted, it is valid for five years. The trusts once approved for five years, are required to apply at least six months prior to the expiry of the period of five years, the CBDT circular noted.
