The Ministry of Finance has issued Notification No. 163/2025, granting exemption under section 10(46) of the Income Tax Act to the Haryana State Board of Technical Education (HSBTE), Panchkula, for specified categories of income. The exemption covers grants and contributions from the Central and State Governments, various fees including affiliation, examination, migration, and transcription fees, royalties, penalties, donations, endowments, income from sale of securities, rental profits, and interest on bank deposits. The exemption is subject to conditions that the Board shall not engage in commercial activities, its activities and income categories must remain unchanged, and it must file its income tax return as mandated under section 139(4C). The notification applies retrospectively for AY 2025–26 and prospectively up to AY 2029–30. An explanatory memorandum clarifies that the retrospective effect does not adversely impact any individual.
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 163/2025-Income Tax | Dated: 26th November, 2025
S.O. 5442(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 State Board of Technical Education (HSBTE), Panchkula’ (PAN: AAAGT0008A), a Board constituted by Government of Haryana, in respect of the following specified income arising to the said Board, as follows:
a. Grants, Assignments and Contributions received from the Central Government and the State Government of Haryana.
b. Fees, such as Affiliation Fees, Examination Fees, Migration Fees, Transcription Fees, etc.
c. Royalties and charges including penalties.
d. Bequests, donations and endowments or other contributions.
e. Sale proceeds of any securities and Rents & profits from property vested in HSBTE.
f. Interest earned on bank deposits.
2. This notification shall be effective subject to the conditions that Haryana State Board of Technical Education, Panchkula –
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 applied for Assessment Year 2025-2026 relevant to Financial Year 2024-25 and applicable for Assessment Years 2026-27 to 2029-30 relevant to Financial Years 2025-2026 to 2028-2029.
[Notification No. 163/2025/F. No. 300196/76/2024-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.
