Renew 12A (tax exemption) and 80G (tax deduction) certificates before 30th September 2025

As per the provisions of the Income Tax Act, 1961, and the amendments announced through the Finance Act, 2020, all charitable and religious trusts and institutions registered under:

• Section 12A/12AA (claiming tax exemption under Section 11 and 12);
• Section 10(23C) (educational or medical institutions registered under this section and claiming tax exemption), and/or
• Section 80G (which enables donors to enjoy tax deduction) …

… are required to renew their registrations at periodic intervals, as prescribed by the Central Board of Direct Taxes (CBDT).

Apply well before 30^th September 2025

Registration certificates obtained under the above sections and revalidated in the year 2021 under the new regime are valid for a period of five years. Accordingly, registrations which were renewed under the new regime with effect from April 1, 2021, will expire on March 31, 2026.

It is therefore necessary to apply for renewal of both the tax exemption and tax deduction certificates at least six months prior to the date of expiry, i.e., on or before September 30, 2025, through the Income Tax portal by submitting Form 10AB along with the required documents, as prescribed under Rule 17A/2C of the Income Tax Rules, 1962.

Failure to renew may result in loss of tax benefits and cancelation of registration.

All must reapply regardless the income

To reiterate, every organization (trust, society or section 8 company having registration for tax exemption and tax deduction which is expiring on 31^st March 2026) must reapply before 30^th September 2025 regardless whether the organizations income is less than INR five crores or otherwise.

If the organization’s total income does not exceed (before exemption) INR five crore in each of the preceding two years at the time of reapplying before 30^th September 2025, the Income tax may revalidate your 12A certificate for ten years. However, it appears that the 80G certificate may be renewed only for five years.

Seek qualified professional assistance

We recommend that this exercise should be carried out by a qualified and experienced chartered account well versed in matters pertaining to charitable and religious trusts and institutions.

Required documents

1. Self-certified copy of the instrument creating the trust or establishing the Institution (trust deed or Memorandum of Association and Articles of Association or Rules, Byelaws as the case may be).
2. Self-certified copy of registration with Registrar of Companies or Registrar of Firms or Registrar of Societies or Registrar of Public Trusts or Charity Commissioner as the case may be.
3. Self-certified copy of registration under Foreign Contribution (Regulation) Act, 2010 (42 of 2010), if the applicant is also registered under FCRA.
4. Self-certified copy of existing order granting registration under section 12A or section 12AA or section 12AB or section 80G, as the case may be.
5. List Trustees, members of the governing board or Directors of the company as the case maybe on the organisation’s letterhead as per prescribed format attached and their KYC documents (self-certified clear copies of PAN & Aadhaar Card).
6. Self-certified copies of the annual accounts of the trust or institution for last three financial years.
7. Self-certified copy of order of rejection of application for grant of registration under section 12A or section 12AA or section 12AB or section 80G, as the case may be, if any.
8. A brief note on the activities of the Trust or institution on the organisation’s letterhead duly signed by a Trustee or governing board member or Director as the case may be.
9. Details of Investments and deposits made by the Trust or institution in the prescribed format.
10. Undertaking to be given on the letter head of the trust or institution as per prescribed format.
11. Details of Land and Building, if any owned by the trust or institution as per prescribed format.
12. Details of Change Reports filed with Charity Commissioner along with copy of the change reports filed and orders obtained from Charity Commissioner Office as may be applicable.
13. Copy of NGO Darpan Registration.
14. Copy of PAN card of the trust or institution duly certified by a trustee or governing board member or Director as the case may be.