Exemption Notification for District Legal Services Authority, Panipat under Section 10(46) of the Income-tax Act, 1961

Last updated: 30 March 2026

Save Share

Quick Summary

The Central Government has granted an income tax exemption to the District Legal Services Authority (DLSA) in Panipat under Section 10(46) of the Income-tax Act, 1961. This exemption applies to specific income sources, including grants from various legal authorities and government bodies, court-ordered receipts, application fees, and bank interest. The exemption is subject to DLSA Panipat not engaging in commercial activities, maintaining the nature of its income, and filing tax returns as required. This notification is effective retrospectively for certain assessment years and prospectively for others.

MINISTRY OF FINANCE
(Department of Revenue)
(CENTRAL BOARD OF DIRECT TAXES)
NOTIFICATION
New Delhi, the 27th March, 2026

S.O. 1626(E).— In exercise of the powers conferred by clause (46) of section 10 of the Income-tax Act, 1961(43 of 1961), the Central Government hereby notifies for the purposes of the said clause, ‘District Legal Services Authority, Panipat (PAN: AAALC0980B), an Authority constituted by the ‘Legal Services Authorities Act, 1987’ (Act No. 39 of 1987), in respect of the following specified income arising to the said Authority, as follows:-
(a) Grants received from the Punjab and Haryana High Court, Central Authority i.e. National Legal Services Authority and State Authority i.e. Haryana State Legal Servies Authority for the purpose of the Legal Services Authorities Act, 1987;
(b) Grants or donation received from the Central Government or the State Government of Haryana for the purpose of the Legal Services Authorities Act, 1987;
(c) Amount received under the order of the Court or from any other source;
(d) Fees received as recruitment application fee; and
(e) Interest earned on bank deposits.

2. This notification shall be effective subject to the conditions that ‘District Legal Services Authority, Panipat -
(a) shall not engage in any commercial activity;
(b) activities and the nature of the specified income shall remain unchanged throughout the financial years; and
(c) shall file return of income in accordance with the provision of clause (g) of sub-section (4C) of section 139 of the Income-tax Act, 1961.

2.1 Failure to comply with these conditions may result in the initiation of penal actions under the provisions of the Income-tax Act, 1961 and withdrawal of the exemption granted u/s 10(46) of the Act.
3. This notification shall be deemed to have been applied for assessment years 2023-24 to 2025-26 relevant for the financial years 2022-23 to 2024-25 and shall be applicable for assessment year 2026-27 to 2027-28 relevant for the financial year 2025-26 to 2026-27.

[NOTIFICATION No. 37/2026/F. No. 300196/2/2026-ITA-I]
HARDEV SINGH, Under Secy.

Explanatory Memorandum

It is certified that no person is being adversely affected by giving retrospective effect [from the year of its application made before the CBDT/ Income-tax Department] to this notification

FAQ :

This notification grants an income tax exemption to the District Legal Services Authority, Panipat under Section 10(46) of the Income-tax Act, 1961.

The exemption covers grants from the Punjab and Haryana High Court, National Legal Services Authority, Haryana State Legal Services Authority, Central Government, and State Government of Haryana. It also includes amounts received by court order or from other sources, recruitment application fees, and interest from bank deposits.

The District Legal Services Authority, Panipat must not engage in any commercial activity, its activities and income nature must remain unchanged, and it must file its income tax return as per the Act.

Failure to comply with the conditions may lead to penal actions under the Income-tax Act and the withdrawal of the granted exemption.

The notification is deemed to have been applied for assessment years 2023-24 to 2025-26 (relevant financial years 2022-23 to 2024-25) and is applicable for assessment years 2026-27 to 2027-28 (relevant financial years 2025-26 to 2026-27).