Income Tax Notification: Section 10(46) for Haryana’s District Legal Service Authority

Income Tax Notification No. 110/2024 Dated: 11th October, 2024 under section 10(46) of the Income Tax Act, 1961 in the case of District Legal Service Authority, Government of Haryana

The Ministry of Finance (Department of Revenue) issued Notification No. 110/2024 on October 11, 2024, under Section 10(46) of the Income Tax Act, 1961. The notification grants tax exemptions to the District Legal Service Authorities (DLSAs) in Haryana for specific types of income. These DLSAs, formed under Section 9 of the Legal Services Authorities Act, 1987, receive various grants and donations for providing legal services. The exemption applies to income such as grants from the Punjab and Haryana High Court, National Legal Services Authority, and the Haryana State Legal Services Authority, along with funds received from the government and court orders, recruitment fees, and interest on bank deposits.

The tax exemption is subject to certain conditions. The DLSAs must not engage in commercial activities, ensure that their income sources remain unchanged, and file returns as per Section 139(4C)(g) of the Income Tax Act. This exemption applies to the assessment years 2024-2025 to 2028-2029, covering financial years 2023-2024 through 2027-2028. A list of nine DLSAs, including Rohtak, Yamunanagar, and Sonipat, is specified in the notification, along with their PAN details.

MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION

Notification No. 110/2024- Income Tax | Dated: 11th October, 2024

S.O. 4401(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, ‘District Legal Service Authority’ as specified in the Schedule to this notification, constituted by Government of Haryana for every District in the State of Haryana in exercise of powers conferred by sub-section (1) of section 9 of the Legal Services Authorities Act, 1987 (Central Act No. 39 of 1987), as a ‘class of body’ in respect of the following specified income arising to that body, namely:—

(a) Grants received from the Punjab and Haryana High Court, Central Authority i.e. National Legal Services Authority and State Authority i.e. Haryana State Legal Services Authority for the purposes of the Legal Services Authorities Act, 1987;

(b) Grants or donation received from the Central Government or the State Government of Haryana for the purpose of the Legal Services Authorities Act, 1987;

(c) Amount received under the order of the Court;

(d) Fee received as recruitment application fee; and

(e) Interest earned on bank deposits.

2. This notification shall be effective subject to the conditions that each of the District Legal Service Authority-

(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 applicable for assessment years 2024-2025, 2025-2026, 2026-2027, 2027-2028 and 2028-2029 relevant for financial year 2023-2024, 2024-2025, 2025-2026, 2026-2027 and 2027-2028 respectively.

SCHEDULE

[Notification No. 110 /2024/F. No. 300196/64/2018-ITA-I (Pt.1]
VIKAS SINGH, Director (ITA-I)