{"id":40776,"date":"2022-03-03T12:23:09","date_gmt":"2022-03-03T06:53:09","guid":{"rendered":"https:\/\/corpbiz.io\/learning\/?p=40776"},"modified":"2022-03-03T12:23:11","modified_gmt":"2022-03-03T06:53:11","slug":"revalidation-of-80g-and-12a","status":"publish","type":"post","link":"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/","title":{"rendered":"An Overview of Revalidation of 80G and 12A"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The charitable institutions or\nassociations are entitled to certain tax exemptions and benefits in India. The\nbenefits &amp; exemptions are dealt with <strong><em>under Section 12AA\/12A and 80G of the IT\nAct, 1961<\/em><\/strong>. However, to avail such benefits and tax exemptions under\nSection 12A and 80G had to revalidate their registrations. The present NGOs or\ncharitable institutions had to apply again to the Income Tax Authorities for\nRevalidation of 80G and 12A. The institutions cannot claim the benefits\nprovided to them under 80G and 12A deductions without the Revalidation of 80G and\n12A. The process of Revalidation of 80G and 12A focuses on whether the\ncharitable activities of the Trust or NGO, or institution are genuine or not.<\/p>\n\n\n\n<p>The Revalidation of 80G and 12A\nis vital due to the changes made by way of amendment to the Finance Act, 2020,\nwhich dictates that the charitable institutions registered under Section <strong><em>12A\/12AA\nand\/or 80G of the IT Act, 1961<\/em><\/strong> are required to re-apply for\nregistration. The <strong><em>IT (6<sup>th<\/sup> Amendment) Rules, 2021,<\/em><\/strong> came into force on 1<sup>st<\/sup>\nApril, 2021. Scroll down to check more information regarding the Revalidation\nof 80G and 12A.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_82_2 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Page Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 eztoc-toggle-hide-by-default' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/#Section_12A_and_Section_80G_of_the_IT_Act_1961\" >Section 12A\nand Section 80G of the IT Act, 1961<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/#Revalidation_of_80G_and_12A_Registration_for_an_NGO\" >Revalidation\nof 80G and 12A Registration for an NGO<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/#Features_of_Revalidation_of_80G_and_12A_Registration\" >Features of\nRevalidation of 80G and 12A Registration<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/#Documents_Required_for_Revalidation_of_80G_and_12A\" >Documents\nRequired for Revalidation of 80G and 12A<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/#Procedure_for_Revalidation_of_80G_and_12A_under_Section_12A_and_80G\" >Procedure for\nRevalidation of 80G and 12A under Section 12A and 80G<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/corpbiz.io\/learning\/revalidation-of-80g-and-12a\/#Conclusion\" >Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Section_12A_and_Section_80G_of_the_IT_Act_1961\"><\/span>Section 12A\nand Section 80G of the IT Act, 1961<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<ul><li><strong><em>Section 80G<\/em><\/strong>: <a href=\"https:\/\/corpbiz.io\/trust-registration\"><strong>Registration of Trust<\/strong><\/a> or any charitable institutions under Section 80G doesn&#8217;t facilitate any direct benefits to them. The charitable institutions or Trusts register themselves under Section 80G to permit the donors who contribute to them to avail some tax benefits on their contributions. The Registration under Section 80G of charitable institutions or NGOs is to incentivize their donors to make contributions. But, only the NGOs that have registered under both Section 80G &amp; 12A are eligible for getting Government funding.<\/li><li><strong><em>Section 12A<\/em><\/strong>: Registration of such institutions or trusts under Section 12A or 12AA certifies that the IT authorities identify the registered institution or Trust as having been established for a charitable purpose. The effect of such recognition is that the respective institutions are exempted from paying Income Tax, subject to the fulfilment of certain other compliance necessities as per Law.<\/li><\/ul>\n\n\n\n<p>Section\n12A deals with institutions &amp; trusts incorporated before 1996, and Section\n12AA deals with Trust &amp; charitable institutions registered after 1996. The\nNGOs have to get a 12A Certification to get tax benefits, regardless of whether\nthey are constituted as a Trust, Society, or not-to-profit company.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Revalidation_of_80G_and_12A_Registration_for_an_NGO\"><\/span>Revalidation\nof 80G and 12A Registration for an NGO<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If you are an NGO, the Trust or Section 8 Company is availing some benefits of registering under Section 80G and 12A Deduction, Revalidation of 80G and 12A is necessary. You have to apply to the IT authorities for the Revalidation of your existing <a href=\"https:\/\/corpbiz.io\/80g-and-12a-registration\"><strong>12A and 80G Registration<\/strong><\/a>. Without this Revalidation, you will not be able to avail the benefits of <strong><em>the 12A Certificate for NGO and 80G Deduction<\/em><\/strong>.<\/p>\n\n\n\n<p>The Revalidation of 80G and 12A is required due to the recent amendment brought in by the <strong>Finance Act, 2020<\/strong><sup><a href=\"https:\/\/www.incometaxindia.gov.in\/_layouts\/15\/dit\/mobile\/budget-bills\/finance-acts.aspx\"><strong>[1]<\/strong><\/a><\/sup>. It has proposed a new regime for Trust, institutions, hospitals, universities, universities, other medical institutions, etc. The Act has mandated all charitable institutions, already registered under Section 12A\/12 AA and\/or 80G of the IT Act, to re-apply the existing registration under the revised provisions. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Features_of_Revalidation_of_80G_and_12A_Registration\"><\/span>Features of\nRevalidation of 80G and 12A Registration<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><strong><em>Following are some vital features\nof Revalidation of 80G and 12A:<\/em><\/strong><\/p>\n\n\n\n<ul><li><strong><em>No Need for Detailed Enquiry<\/em><\/strong>: According to the amended provisions, entities already registered to Section 12A and 80G need to simply apply for the Revalidation of 80G and 12A. Further, they may not have to go vial detailed enquiries by the CIT or PCIT. On receipt of the application for Revalidation, the PCIT or CIT is supposed to pass the registration order. The enquiry will be applicable only if:<\/li><li>After the expiration of the registration validity of 5 years;<\/li><li>Conversion of the provisional registration or approval into final or full registration\/approval.<\/li><li><strong><em>Applicable for Institutions Covered under Section 12 AA<\/em><\/strong>: Section 12 A deals with charitable trusts or institutions with registration before 1996, and Section 12 AA deals with charitable institutions registered after 1996. Furthermore, the new provisions of Revalidation of 80G and 12A Registration are applicable for NGOs covered under Section 12 AA as well.<\/li><li><strong><em>Order Need Three Months to Pass<\/em><\/strong>: The PCIT or CIT will need to pass an approval (or rejection) order of <a href=\"https:\/\/corpbiz.io\/ngo-registration\"><strong>NGO Registration<\/strong><\/a> within three months.<\/li><li><strong><em>Application will be checked for correctness<\/em><\/strong>: Even though there will not be any questions, the applications will have concern for their correctness &amp; completeness. Moreover, the authority will check if the Trust Deeds, Registration Certificates, donor lists, by-laws, and member lists are valid and are in the correct format.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Documents_Required_for_Revalidation_of_80G_and_12A\"><\/span>Documents\nRequired for Revalidation of 80G and 12A<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Following are some vital\ndocuments required for Revalidation of 80G and 12A:<\/p>\n\n\n\n<ul><li>Self-certified copy of the registration under the FCRA, 2010, if the applicant or candidate is registered under the respective Act;<\/li><li>Copy of the existing order of registration under Section 12A, 12AA, or 12AB, as the case may be;<\/li><li>Copy of the documents showing or evidencing modification or adoption of the objects;<\/li><li>The details of <a href=\"https:\/\/corpbiz.io\/learning\/ngo-darpan-registration\/\"><strong>NGO DARPAN Registration<\/strong><\/a>, in case the organisation is registered on the portal of DARPAN;<\/li><li>Copy of incorporation of Societies or Trust;<\/li><li>Copy of the registration with the ROC (Registrar of Companies) or Registrar of Firms or Registrar of Societies or Registrar of Public Trusts, as the case may be;<\/li><li>Copies of the annual accounts for a time period nor exceeding 3 years immediately prior to the year in which Revalidation application is made, in the case of existing entities;<\/li><li>Where the income of the organisation comprises the profits &amp; gains of business or whereas business undertaking is held by the company under the provisions of Section 11(4A), copies of the annual accounts and audit report under Section 44AB for 3 years immediately prior to the year in which the application is made;<\/li><li>Notes on the institution or trust\u2019s activities.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Procedure_for_Revalidation_of_80G_and_12A_under_Section_12A_and_80G\"><\/span>Procedure for\nRevalidation of 80G and 12A under Section 12A and 80G<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>To claim exemption, an NGO, a\ncharitable or religious trust, should make an application to the Principal\nCommissioner of Income Tax\/Commissioner of Income Tax online in <strong><em>Form-10A.\n<\/em><\/strong>Following is the procedure for Revalidation of 80G and 12A under\nSection 12A and 80G:<\/p>\n\n\n\n<ol><li>First,\nyou have to log in to the online website of the IT Department;<\/li><li>Then,\nyou have to go to the <strong><em>Income Tax Forms <\/em><\/strong>under the tab or\ne-file;<\/li><li>Choose\nthe Form Name as <strong><em>Form 10A<\/em><\/strong> and select the relevant Assessment Year from the\ndrop-down list;<\/li><li>Select\nthe <strong><em>Prepare\n&amp; Submit Online<\/em><\/strong> option in the submission mode;<\/li><li>Fill\nin all the information or details required in the form and attach the\napplicable attachments;<\/li><li>Submit\nthe form using Electronic Verification Code or DSC as required at the time of\nfiling the return.<\/li><\/ol>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The NGOs applying for Revalidation or Registration as per the amended provision of Section 80G are compulsorily required to provide the details of their Registration Number with the DARPAN portal of Niti Aayog. The registration under Section 80G and 12A are also compulsory when the organisations intend to receive or receive any assistance or grant from the State Government or Central Government. <\/p>\n\n\n\n<p class=\"text-left\"><b>Read our Article<\/b>:<mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/corpbiz.io\/learning\/how-to-get-80g-registration-for-trust\/\">How to Get 80g Registration for Trust?<\/a><\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The charitable institutions or associations are entitled to certain tax exemptions and benefits in India. The benefits &amp; exemptions are dealt with under Section 12AA\/12A and 80G of the IT Act, 1961. However, to avail such benefits and tax exemptions under Section 12A and 80G had to revalidate their registrations. The present NGOs or charitable [&hellip;]<\/p>\n","protected":false},"author":35,"featured_media":40791,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[192],"tags":[2160],"acf":{"service_id":"12"},"authorName":"Karan Singh","authorImageUrl":"https:\/\/corpbiz.io\/learning\/wp-content\/uploads\/2022\/01\/processed-1-150x150.jpeg","authorDescription":"A legal writing enthusiast, a wanderer, and a zealous reader. After gaining a lot of knowledge about the diverse legal topics and developing research skills, Karan joined the league of legal content writers to deliver quality-rich blogs.","postViews":4481,"readingTime":5,"_links":{"self":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/40776"}],"collection":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/users\/35"}],"replies":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/comments?post=40776"}],"version-history":[{"count":15,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/40776\/revisions"}],"predecessor-version":[{"id":40792,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/posts\/40776\/revisions\/40792"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media\/40791"}],"wp:attachment":[{"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/media?parent=40776"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/categories?post=40776"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/corpbiz.io\/learning\/wp-json\/wp\/v2\/tags?post=40776"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}