The Central Board of Direct Taxes (CBDT), through Notification No. 30/2026 dated 25 March 2026, issued under Section 10(46A) of the Income-tax Act, 1961, has notified the Patiala Urban Planning And Development Authority as an eligible authority for tax exemption. The authority, constituted under the Punjab Regional and Town Planning and Development Act, 1995, qualifies for exemption due to its statutory status and public utility functions. The notification is effective from Assessment Year 2024–25 onwards, subject to the condition that the authority continues to operate under its governing statute and fulfills the objectives specified under Section 10(46A). The explanatory memorandum clarifies that retrospective application of the notification does not adversely affect any person, ensuring fairness and administrative clarity. This move reinforces the principle that statutory development authorities engaged in public functions can claim tax exemption if they meet prescribed legal conditions.
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 30/2026 – Income Tax | Dated: 25th March, 2026
S.O. 1577(E).— In exercise of the powers conferred by sub-clause (b) of clause (46A) of section 10 of the Income-tax Act, 1961 (43 of 1961), (hereinafter referred to as “the Income-tax Act”), the Central Government hereby notifies the Patiala Urban Planning And Development Authority (PDA) [AAALP0095J] (hereinafter referred to as “the asses see”), an authority constituted under the Punjab Regional and Town Planning and Development Act, 1995 (Act 11 of 1995), for the purposes of the said clause.
2. This notification shall be effective from the assessment year 2024-25, subject to the condition that the assessee continues to be an authority constituted the Punjab Regional and Town Planning and Development Act, 1995 (Act 11 of 1995) with one or more of the purposes specified in sub-clause (a) of clause (46A) of section 10 of the Income-tax Act.
[Notification No. 30 /2026 /F.No. 300195/21/2024-ITA-I]
HARDEV SINGH, Under Secy.
Explanatory Memorandum
It is certified that no person is being adversely affected by giving retrospective effect (with effect from the year of application made before the Board/Department) to this notification.
