The Ministry of Finance, Department of Revenue, under the Central Board of Direct Taxes, has issued Notification No. 32/2024 dated 15th March 2024, regarding tax exemption under section 10(22B) of the Income Tax Act, 1961 for The Press Trust of India Limited. This article delves into the specifics of the notification, its implications, and the conditions attached.
Detailed Analysis
The notification, issued under the authority of clause (22B) of section 10 of the Income-tax Act, 1961, designates “The Press Trust of India Limited, New Delhi” as a news agency established in India exclusively for the collection and dissemination of news. This designation applies for the assessment years 2022-2023 to 2023-2024.
One of the primary conditions outlined in the notification is that the designated news agency must utilize its income solely for the purposes of news collection and distribution. It is prohibited from distributing its income in any manner to its members. This condition underscores the intent behind the tax exemption, ensuring that the benefits are directed towards the advancement of journalistic endeavors rather than individual profit-sharing.
The Press Trust of India Limited plays a pivotal role in the Indian media landscape, providing timely and reliable news content to a wide array of subscribers. By granting tax exemption, the government recognizes the critical role played by such entities in fostering a vibrant and informed society.
Conclusion
The Ministry of Finance’s notification granting tax exemption to The Press Trust of India Limited reflects a strategic acknowledgment of the importance of news agencies in the country’s media ecosystem. By incentivizing entities dedicated to the dissemination of news, the government aims to promote the free flow of information and uphold the principles of press freedom. However, the stipulated conditions ensure that the benefits of tax exemption are aligned with the core objectives of journalistic integrity and public service, safeguarding against misuse or diversion of funds. This move not only supports the sustainability of credible news sources but also reinforces the government’s commitment to fostering a conducive environment for media development.
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MINISTRY OF FINANCE
(Department of Revenue )
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 32/2024 – Income Tax | dated: 15th March, 2024
S.O. 1413(E).—In exercise of the powers conferred by the clause (22B) of section 10 of the Income-tax Act, 1961 (43 of 1961), the Central Government hereby specifies the “The Press Trust of India Limited, New Delhi” as a news agency set up in India solely for collection and distribution of news, for the purpose of the said clause for two assessment years 2022-2023 to 2023-2024.
2. The notification is subject to the condition that the news agency applies its income or accumulates it for application solely for collection and distribution of news and does not distribute its income in any manner to its members.
[Notification No. 32 /2024 (F.No.165/1/2021-ITA-I)]
VIKAS SINGH, Director, ITA-I
