The Ministry of Finance, through the Central Board of Direct Taxes, has issued Notification No.11/2024 – Income Tax on 8th January, 2024. This notification pertains to the tax treatment of the ‘Punjab State Faculty of Ayurvedic and Unani Systems of Medicine,’ a body constituted by the Punjab Government. The notification outlines specific categories of income, conditions, and its retrospective application.
Specified Income: The notification identifies three types of income for the Punjab State Faculty: fees, maintenance fund receipts, and interest earned on bank deposits. These sources of income are crucial for the functioning of the Ayurvedic and Unani Systems of Medicine.
Conditions for Effectiveness: To avail of the benefits conferred by this notification, the Punjab State Faculty must adhere to certain conditions. Firstly, it is restricted from engaging in any commercial activity. Secondly, the nature of specified income and the overall activities of the body should remain consistent throughout the financial years. Lastly, compliance with the provisions of filing income tax returns, as specified in the Income-tax Act, 1961, is mandatory.
Retrospective Application: The notification applies retrospectively for assessment years 2020-2021, 2021-2022, 2022-2023, and 2023-2024, relevant to the financial years 2019-2020, 2020-2021, 2021-2022, and 2022-2023. This means that the specified conditions and benefits extend to these past years.
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Ministry of Finance
(Department of Revenue)
(Central Board of Direct Taxes)
Notification No. 11/2024 – Income Tax | Dated: 8th January, 2024
S.O. 91(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, ‘Punjab State Faculty of Ayurvedic and Unani Systems of Medicine’ (PAN: AAALT1669E), a body constituted by the Punjab Government, in respect of the following specified income arising to that body, namely:-
(a) Fees, by whatever name called;
(b) Maintenance Fund receipts; and
(c) Interest earned on bank deposits.
2. This notification shall be effective subject to the conditions that Punjab State Faculty of Ayurvedic and Unani Systems of Medicine, SAS Nagar, Punjab:-
(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 been applied for assessment years 2020-2021, 2021-2022, 2022-2023 and 2023-2024 relevant to the financial years 2019-2020, 2020-2021, 2021-2022 and 2022-2023 respectively.
[Notification No.11/2024/F.No. 300196/42/2019-ITA-I]
VIKAS SINGH, Director (ITA-I)
Explanatory Memorandum
It is certified that no person is being adversely affected by giving retrospective effect to this notification.
