Ministry of Finance, Department of Revenue, through the Central Board of Direct Taxes (CBDT), has issued Notification No. 57/2025 dated 16th June 2025, under clause (46) of section 10 of the Income-tax Act, 1961. The notification grants income-tax exemption to the Haryana Real Estate Regulatory Authority (HRERA), Gurugram for specific types of income. HRERA, constituted under Section 20(1) of the Real Estate (Regulation and Development) Act, 2016, will be exempt from tax on income received as (a) grant-in-aid or loans/advances from the government, (b) fees or penalties collected from builders, agents, or other stakeholders as per RERA provisions, and (c) interest earned on the aforementioned funds. The exemption is conditional upon HRERA not engaging in commercial activity, maintaining the specified nature of income across the financial years, and filing income tax returns under section 139(4C)(g) of the Act. The notification is retrospective and will apply to financial years 2018–19 through 2022–23, corresponding to assessment years 2019–20 through 2023–24. The accompanying explanatory memorandum states that no individual is adversely affected due to the retrospective implementation of this exemption.
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 57/2025-Income Tax | Dated: 16th June, 2025
S.O. 2687(E).— In exercise of the powers conferred by clause (46) of section 10 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby notifies for the purposes of the said clause, ‘Haryana Real Estate Regulatory Authority, Gurugram’ (PAN: AAAGH0586F), an Authority constituted under sub-section (1) of Section 20 of the Real Estate (Regulation and Development) Act, 2016 (16 of 2016) by the State Government of Haryana, in respect of the following specified income arising to that Authority, namely:-
(a) Amount received as Grant-in-aid or loan/advance from Government;
(b) Fee/penalty received from builders/developers, agents or any other stakeholders as per the provisions of the Real Estate (Regulation and Development) Act, 2016; and
(c) Interest earned on (a) and (b) above.
2. This notification shall be effective subject to the conditions that the Haryana Real Estate Regulatory Authority, Gurugram –
(a) shall not engage in any commercial activity;
(b) activities and the nature of the specified income shall remain unchanged throughout the financial years; and
(c) shall file return of income in accordance with the provision of clause (g) of sub-section (4C) of section 139 of the Income-tax Act, 1961.
3. This notification shall be deemed to have been applied for the financial years 2018-19 to 2022-23 relevant to assessment years 2019-20 to 2023-24.
[Notification No. 57/2025/F. No. 300196/35/2022-ITA-I]
MEENAKSHI SINGH, Dy. Secy.
Explanatory Memorandum
It is certified that no person is being adversely affected by giving retrospective effect to this notification
