Permissible mode in which charitable trust / institution can deposit its receipt

Sandeep Rawat | Last updated: 14 November 2020

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Quick Summary

Charitable trusts and institutions must deposit their receipts in specific permissible modes outlined in Section 11(5) to maintain their tax-exempt status. These modes include various government securities, scheduled banks, Post Office Savings Banks, and specific investments in public sector companies and financial corporations. Rule 17C further expands these options to include units of mutual funds, housing development authorities, and certain equity shares.

Modes specified in section 11(5): Deposits with Post Office Savings Banks. Deposit with Scheduled banks or Co-operative Banks Investment in Government Saving Certificates.. Investment in units of the Unit Trust of India. Investment in Central or State Government Securities. Investments in debentures issued by or on behalf of any company or corporation. However, both the principal and interest thereon must have been guaranteed by the Central or the State Government. Investment i

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1 Year PLAN

1999

(Excl. of GST ₹359)

BEST VALUE

2 Years PLAN

3499

(Excl. of GST ₹629)

3 Months PLAN

999

(Excl. of GST ₹179)

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About the Author

Sandeep Rawat

Expert in Taxation and compliance

Mr. Sandeep Rawat brings more than 5years of broad and progressive experience as a strategic business partner in addition to being an expert in taxation.he has vast experience in conducting financial audits and tax planning of government corporations, private industries, foreign companies, NGOs, banks, educational inst ... Read more

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