The income-tax (I-T) authorities have tightened disclosure norms for charitable trusts.
They now have to declare the nature of their activities from October 1 for tax purposes.
The Central Board of Direct Taxes (CBDT) has notified changes in reporting rules where the charitable institutions have to mention whether the activities undertaken are charitable, religious, or both to claim tax benefits.
The income tax department has made changes to the disclosure requirements for charitable institutions seeking income tax exemption. Effective from October 1, the amendments to the Income Tax Rules mandate that charitable institutions must provide additional details regarding the nature of their activities. Specifically, they will now be required to disclose whether their activities are categorized as charitable, religious, or a combination of both religious and charitable.