Procedure for Registration (Applicable till 31st March 2021) - Section 12AA - Income Tax - Ready Reckoner - Income Tax

Procedure for Registration - Section 12AA [ Nothing contained in this section shall apply on or after the 1st day of April, 2021 ] The commissioner, on receipt of an application for registration of a Trust made under section 12A , shall Call for such documents and information from the Trust as he thinks necessary in order to satisfy himself about the genuineness of the activities of the Trust and may make further inquiries and After satisfying himself about the objects of the trust or institution and the genuineness of its activities: i. Pass an order in writing registering the Trust or institution ii. shall, If he is not satisfied, pass an order in writing refusing to register the trust or institution. c. If he is not satisfied he may reject such application and cancel registration or reject application as the case may be [Amended by FA, 2023 ] No order of refusal to register the Trust shall be passed unless the applicant has been given a reasonable opportunity of being heard. Every order granting or refusing registration shall be passed before the expiry of six months from the end of the month in which application was received under section 12A. If no order is passed within the said six months then it shall be deemed that the trust has been registered. Where a trust or an institution has been granted registration under section 12AA and subsequently the Commissioner is satisfied that i. The activities of the trust are not genuine or ii. The activities are not being carried out in accordance with the objects of the trust then he shall pass an order in writing cancelling the registration of such trust. No order under this sub-section shall be passed unless such trust or institution has been given a reasonable opportunity of being heard .