SCHEDULE IX-D AND SEC 12AA

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This query is : Resolved

Khushal Patil (Querist)

09 October 2019 Respected Sir,
Is it required to fill a form SCHEDULE IX-D, If the Trust doesn't have Registration No. u/s 12AA of Income Tax Act (43 of 1961)..??

Aashok Kumar Sharma online

Aashok Kumar Sharma

(Expert)

11 July 2024 Form Schedule IX-D is related to the reporting of donations received by trusts and institutions eligible for deduction under section 80G of the Income Tax Act, 1961. Here’s how it generally applies:

1. **Trust with 12AA Registration**: If a trust or institution has obtained registration under section 12AA of the Income Tax Act, it means it is recognized as a charitable institution, and donations to such a trust are eligible for deduction under section 80G for the donors. In such cases, the trust needs to fill Schedule IX-D to provide details of the donations received.

2. **Trust without 12AA Registration**: If a trust does not have registration under section 12AA, it means it does not have the recognition as a charitable institution under the Income Tax Act. Donations to such trusts generally do not qualify for deduction under section 80G for the donors. In this scenario:

- The trust may not be required to fill Schedule IX-D because it may not be receiving donations that are eligible for deduction under section 80G.
- However, if the trust is still receiving donations and wants to provide details voluntarily, it can fill Schedule IX-D. This would be more for transparency and record-keeping purposes rather than for the purpose of claiming tax benefits under section 80G.

3. **Legal Compliance**: The requirement to fill Schedule IX-D primarily arises when the trust has 12AA registration and is soliciting donations eligible for 80G deduction. If the trust does not have 12AA registration and is not receiving donations eligible for 80G deduction, filling Schedule IX-D may not be mandatory. However, it is advisable to consult with a tax advisor or chartered accountant to ensure compliance with all relevant tax laws and regulations.

In conclusion, if the trust does not have registration under section 12AA and does not receive donations eligible for deduction under section 80G, it may not be required to fill Schedule IX-D. It is always prudent to seek professional advice to determine the exact compliance requirements based on the trust's specific circumstances.

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