The recent Notification No. 7/2023, issued on 21st February 2023, by the Central Board of Direct Taxes (CBDT) mandates the use of new audit reports, namely Form 10B and Form 10BB, for charitable and religious trusts. It is essential to determine which of these forms applies to our organization. Previously, Rule 16CC required Form 10BB for organizations under section 10(23C) and Rule 17B required Form 10B for those under section 12AB. This has now been completely changed. Understanding this change is crucial for complying with the updated regulations and managing our income accordingly.
Common Form depending on certain criteria
Rule 16CC and Rule 17B of the Income-Tax Rules, 1962 have been substituted with effect from 1st April 2023 through the Income-tax (3rd Amendment) Rules, 2023. As per the amended Rules, common forms have been prescribed for organizations registered under section 12AB and those registered under section 10(23C) subject to fulfillment of certain criteria.
Fr Alex G SJ
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