Home India Ministry of Finance Notification u/s 35(1)(ii) of the Income Tax Act, 1961 in th...
Date: 2026-03-30 Category: Extra Ordinary State: Union Government Country: India

Notification u/s 35(1)(ii) of the Income Tax Act, 1961 in the case of Indian Institute of Technology, Bombay

Issued by Ministry of Finance · Department of Revenue

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Executive Summary & Key Takeaways

**Executive Summary** This notification, issued by the Ministry of Finance on March 30, 2026, grants official approval to the Indian Institute of Technology (IIT) Bombay for "Scientific Research" under the Income-tax Act, 1961. The approval is effective for the Assessment Years 2026-27 through 2030-31. IIT Bombay is required to meet specific reporting obligations, including the annual submission of donation statements by May 31st. **Key Points / Main Content** **Institutional Approval** * IIT Bombay (PAN: AAATI1446A) is approved as a ‘University, college or other institution’ for the purpose of scientific research. * The approval is granted under clause (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961, read with Rules 5C and 5E. **Regulatory Compliance** * The institution must strictly comply with the conditions specified in Rule 5E of the Income-tax Rules, 1962. * IIT Bombay is required to maintain records and fulfill all statutory obligations prescribed for scientific research institutions. **Reporting Obligations** * For every financial year, the institution must prepare a statement of donations received in Form No. 10BD. * This statement must be verified and delivered to the prescribed income-tax authority on or before May 31st immediately following the financial year in which the donation was received. * The institution is permitted to submit a correction statement to rectify mistakes or update information previously provided in Form No. 10BD. **Donor Certification** * IIT Bombay must provide a certificate to each donor in Form No. 10BE. * The certificate must specify the amount of the donation and include particulars as prescribed under Rule 18AB of the Income-tax Rules, 1962. **Impact Analysis** **Indian Institute of Technology (IIT) Bombay** **Impact** The institution is officially recognized for scientific research tax benefits for a five-year period, enabling it to facilitate tax-deductible donations. **Action Required** Must ensure the filing of Form No. 10BD by the May 31st deadline annually and issue Form No. 10BE certificates to all donors within the prescribed timeframe. **Donors (Individuals/Corporates)** **Impact** Donors contributing to IIT Bombay for scientific research purposes become eligible for tax considerations under Section 35 of the Income-tax Act. **Action Required** Must obtain and maintain Form No. 10BE from the institution to support tax claims regarding their donations. **Income-tax Authorities** **Impact** The authorities are responsible for oversight and the receipt of electronic statements regarding the research funds. **Action Required** Must receive, process, and verify the annual statements (Form No. 10BD) and any subsequent correction statements submitted by the institution.

Key Entities Referenced

Indian Institute of Technology (IIT) Bombay: The educational institution approved as a ‘University, college or other institution’ for scientific research purposes under tax law. Section 35 of the Income-tax Act, 1961: The specific legal provision that enables tax deductions for contributions or expenditures related to scientific research. Central Board of Direct Taxes (CBDT): The primary regulatory body within the Ministry of Finance responsible for issuing this notification and overseeing direct tax compliance. Income-tax Rules, 1962: The regulatory framework, specifically Rules 5C, 5E, and 18AB, governing the conditions and reporting requirements for approved research institutions.
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रजिस्ट्री स.ं डी.एल.- 33004/99 REGD. No. D. L.-33004/99 सी.जी.-डी.एल.-अ.-30032026-271428 CG-DxLx-xEG-I3D0H0x3x2x0 26-271428 xxxGIDExxx असाधारण EXTRAORDINARY भाग II—खण् ड 3—उप-खण्ड (ii) PART II—Section 3—Sub-section (ii) प्राजधकार स ेप्रकाजित PUBLISHED BY AUTHORITY स.ं 1593] नई दिल्ली, सोमिार, माच ड30, 2026/चत्रै 9, 1948 13, 1947 26/पौर् 17, 1947 No. 1593] NEW DELHI, MONDAY, MARCH 30, 2026/CHAITRA 9, 1948 ss, 1947 /PAUSHA 17, 1947 जित्त मत्रं ालय रािस्ट्ि जिभाग (केन्द्रीय प्रत्यक्ष कर बोडड) अजधसचू ना नई दिल्ली, 30 माच,ड 2026 का.आ. 1658(अ).—- आयकर जनयमािाली, 1962 के जनयम 5ग और 5ङ के साथ पठित आयकर अजधजनयम, 1961 (1961 का 43) की धारा 35 की उप-धारा (1) के खडं (ii) द्वारा प्रित्त िजियों का प्रयोग करते हुए केन्द्र सरकार ‘भारतीय प्रौद्योजगकी सस्ट्ं थान’, (पनै : AAATI1446A), बॉम्ब े को आयकर जनयमािली, 1962 के जनयम 5ग और 5ङ के साथ पठित आयकर अजधजनयम, 1961 की धारा 35 की उप-धारा (1) के खंड (ii) के प्रयोिनाथ ड‘जिश्वजिद्यालय, महाजिद्यालय या अन्द्य सस्ट्ं था’ की श्रेणी के अंतगडत ‘िज्ञै ाजनक अनसु धं ान’ हते ुअनुमोदित करती ह।ै 2. यह अजधसूचना मल्ू यांकन िर्ड 2026-27 से 2030-31 तक जनम्नजलजखत ितों के अधीन लागू होगी । (i) ‘भारतीय प्रौद्योजगकी सस्ट्ं थान’, बॉम्ब े को आयकर अजधजनयम, 1962 के जनयम 5ङ म ेंजनर्िडष्ट ितों का अनुपालन करना होगा। (ii) ‘भारतीय प्रौद्योजगकी सस्ट्ं थान’, बॉम्बे अजधजनयम की धारा 35 की उपधारा (1क) के अतं गतड प्रत्येक जित्तीय िर् ड के जलए प्रपत्र संख्या 10खघ में जनधाडठरत जििरण तैयार करेगा और उि जनधाडठरत आयकर प्राजधकारी या ऐसे प्राजधकारी द्वारा प्राजधकृत व्यजि को उि प्रपत्र में, ऐसे तरीके से सत्याजपत, ऐसे जििरणों को प्रस्ट्ततु करते हुए, उस जित्तीय िर्ड के तरु ंत बाि आने िाली 31 मई को या उससे पहले, जिसमें िान प्राप्त हुआ ह,ै आयकर अजधजनयम, 1962 के जनयम 18कख म ें जनधाडठरत अनुसार प्रस्ट्तुत करेगा या प्रस्ट्ततु करिाएगा। 2314 GI/2026 (1)2 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(ii)] बित े दक ऐसा जिश्वजिद्यालय, महाजिद्यालय या अन्द्य संस्ट्था अजधजनयम की धारा 35 की उपधारा (1क) के तहत दिए गए जििरण म ें दकसी भी गलती को सुधारन े या उसम ें िानकारी िोड़ने, हटान े या अद्यतन करन े के जलए जनधाडठरत प्राजधकारी को एक सुधार जििरण भी प्रस्ट्तुत कर सकती ह।ै (iii) ‘भारतीय प्रौद्योजगकी सस्ट्ं थान’, बॉम्ब े िानकता ड को प्रपत्र संख्या 10खग म ें एक प्रमाण पत्र प्रिान करेगा, जिसमें िान की राजि का जििरण, जििरण और राजि प्राप्त होन े की जतजथ से जनधाडठरत समय के भीतर दिया िाएगा, िैसा दक आयकर अजधजनयम, 1962 के जनयम 18कख में जनधाडठरत ह।ै [अजधसूचना स.ं 42/2026/फा. स.ं 203/09/2025/ITA-II] इंि ुबाला, उप सजचि MINISTRY OF FINANCE (Department of Revenue) (CENTRAL BOARD OF DIRECT TAXES) NOTIFICATION New Delhi, the 30th March, 2026 S.O. 1658(E).— In exercise of the powers conferred by clause (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961 (43 of 1961) (the Act) read with Rules 5C and 5E of the Income-tax Rules, 1962 (the Rules), the Central Government hereby approves ‘Indian Institute of Technology’ (IIT) Bombay, (PAN: AAATI1446A), for ‘Scientific Research’ under the category of ‘University, college or other institution’ for the purposes of clause (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961 read with rules 5C and 5E of the Income-tax Rules, 1962. 2. This Notification shall be applicable for Assessment years 2026-27 to 2030-31 subject to the following conditions: (i) ‘Indian Institute of Technology’ (IIT), Bombay shall comply with the conditions specified in Rule 5E of the Income-tax Rules, 1962. (ii) ‘Indian Institute of Technology’ (IIT), Bombay shall prepare statement under sub-section (1A) of section 35 of the Act for each financial year as prescribed in Form No.10BD and deliver or cause to be delivered to the said prescribed income-tax authority or the person authorised by such authority such statement in such form, verified in such manner, setting forth such particulars on or before the 31st May, immediately following the financial year in which the donation is received, as prescribed in Rule 18AB of the Income-tax Rules,1962. Provided that such university, college or other institution may also deliver to the prescribed authority a correction statement for rectification of any mistake or to add, delete or update the information furnished in the statement delivered under sub-section (1A) of section 35 of the Act; (iii) ‘Indian Institute of Technology’ (IIT), Bombay shall furnish to the donor, a certificate in Form No.10BE specifying the amount of donation in such manner, containing such particulars and within such time from the date of receipt of sum, as prescribed in Rule 18AB of the Income-tax Rules,1962. [Notification No. 42 /2026 /F. No 203/09/2025/ITA-II] INDU BALA, Dy. Secy. Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064 and Published by the Controller of Publications, Delhi-110054.

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