Registration u/s 12AA of the Income tax Act, 1961 is a significant compliance requirement as far as Charitable Trusts are concerned.

While making application to the Income Tax Department for Registration u/s 12AA in Form 10A, along with many other particulars, documents, trust deed, activity reports, financial statements, declaration u/s 13(1), an undertaking that the activities of the trust shall not be an infringement of the provisions laid out in Proviso to Section 2(15) of the Income tax Act, 1961 also has to be furnished.

Attaching herewith the format for such undertaking which could be used for the purpose of submitting before Income Tax Authorities for 12AA application.

Hope this material would be of assistance in taking care of the procedures.

Thank you and Regards,

CA Nithin S Chettoor

TO WHOMSOEVER IT MAY CONCERN

We hereby undertake that the trust – “—————————- Trust” is created for charitable purposes with the objectives as laid down in the Trust Deed including relief to the poor, education, medical relief, preservation of nature,……………………… and advancement of any other object of public utility. We hereby declare and undertake that the objectives and activities of the trust does not involve carrying on of any activity in the nature of trade, commerce or business, or any activity of rendering any service in relation to any trade, commerce or business, for a cess or fee or any other consideration and that the trust had not performed or will perform in future, any activities which leads to infringement of the provisions as laid out in the Proviso to Section 2(15) of the Income Tax Act, 1961 and all the activities are intended for “Charitable Purposes”.

Place

Managing Trustee

Trustee

Date

Download Format of Undertaking under Proviso to Section 2(15) of Income Tax Act, 1961

Author Bio

Qualification: CA in Practice
Company: Sivadas C and Company
Location: PALAKKAD, Kerala, IN
Member Since: 06 Sep 2019 | Total Posts: 1

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One Comment

  1. Shabbir shakir says:

    It should further be certified that if trust at anytime during the previous year involves in the activities that comes under the proviso to sec 2 (15) of I.T.Act then it shall inform the CIT provisionally..

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