The Central Board of Direct Taxes has issued Notification No. 04/2026–Income Tax, notifying the Kota Development Authority as an eligible authority under clause (46A) of Section 10 of the Income-tax Act, 1961. Through this notification, the Central Government has granted income-tax exemption to the Authority, subject to it continuing to function under the Kota Development Authority Act, 2023 and carrying out one or more specified statutory purposes mentioned in Section 10(46A). The notification is effective from Assessment Year 2025–26. The Explanatory Memorandum clarifies that the notification does not adversely affect any person and that the exemption is being granted with effect from the year in which the application was made before the competent authority. The notification provides certainty on the tax-exempt status of the Authority’s income, subject to statutory compliance.
MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
Notification No. 04/2026 – Income Tax | Dated: 7th January, 2026
S.O. 100(E).—In exercise of the powers conferred by sub-clause (b) of clause (46A) of section 10 of the Income-tax Act, 1961 (43 of 1961), (hereinafter referred to as “the Income-tax Act”), the Central Government hereby notifies “Kota Development Authority ”(PAN: AAAJK2043D) (hereinafter referred to as “the assessee”), an authority constituted under the Kota Development Authority Act, 2023 (Act No. 31 of 2023) for the purposes of the said clause.
2. This notification shall be effective from the assessment year 2025-26, subject to the condition that the assessee continues to be an authority constituted under the Kota Development Authority Act, 2023 (Act No. 31 of 2023) with one or more of the purposes specified in sub-clause (a) of clause (46A) of section 10 of the Income-tax Act.
[Notification No. 04 /2026/F. No. 300195/72/2024-ITA-I]
HARDEV SINGH, Under Secy.
Explanatory Memorandum
It is certified that no person is being adversely affected by giving retrospective effect (with effect from the year of application made before the Board/Department) to this notification.
