The Government of India has issued a notification (S.O.3128) under the Income Tax Act, 1961, specifying that Banasthali Vidyapith College of Arts and Science, located in Banasthali, Rajasthan, has been approved as an institution eligible for tax-exempt research funding. This approval, granted by the Department of Science and Technology, New Delhi, aligns with clause (ii) of sub-section (1) of Section 35, permitting income tax deductions for contributions towards scientific research in natural and applied sciences. The approval is valid from January 24, 1983, until January 23, 1986. As part of this arrangement, the college must adhere to several compliance requirements. First, it is required to maintain a separate account for all funds received specifically for scientific research purposes. Additionally, the institution must submit an annual return detailing its research activities by April 30 each year to the designated authority. Furthermore, by June 30 each year, the college must provide audited financial statements, including an income and expenditure account and a balance sheet, to the prescribed authority as well as the respective Commissioner of Income Tax. These conditions ensure transparency and proper utilization of research funds in alignment with tax regulations. This notification follows an earlier directive, No. 3288 dated May 12, 1980, and reinforces the government’s commitment to supporting scientific research through tax policy.
Notification: S.O.3128
Section(s) Referred: 35 ,35(1) ,35(1)(ii)
Statute: INCOME TAX
Date of Issue: 18/7/1983
In continuation of this office notification No. 3288 (F. No. 203/148/79–ITA II), dated 12–5-80, it is hereby notified for general information that the institution mentioned below has been approved by the Department of Science & Technology, New Delhi, the prescribed authority for the purposes of clause (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961, read with rule 6 of the Income-tax Rules, 1962, under the category “Association” in the area of other natural and applied sciences subject to the following conditions :—
(i) That the Banasthali Vidyapith College of Arts and Science will maintain a separate account of the sums received by it for scientific research.
(ii) That the said College will furnish annual returns of its scientific research activities to the prescribed authority for every financial year in such forms as may be laid down and intimated to them for this purpose by 30th April each year.
(iii) That the said College will submit to the prescribed authority by 30th June each year a copy of their audited annual accounts showing their total income and expenditure and balance-sheet showing its assets and liabilities with a copy of each of these documents to the concerned Commissioner of Income-tax.
Institution
Banasthali Vidyapith College of Arts and Science, Banasthali (Rajasthan).
This notification is effective for a period of three years from 24-1-1983 to 23-1-1986.
[No. 5312/F. No. 203/28/83—ITA. II]
