Section 12 of Income Tax Act "Income of trusts or institutions from contributions"
12. (1) Any voluntary contributions received by a trust created wholly for charitable or religious purposes or by an institution established wholly for such purposes (not being contributions made with a specific direction that they shall form part of the corpus of the trust or institution) shall for the purposes of section 11 be deemed to be income derived from property held under trust wholly for charitable or religious purposes and the provisions of that section and section 13 shall apply accordingly.
(2) The value of any services, being medical or
educational services, made available by any charitable or
religious trust running a hospital or medical institution or
an educational institution, to any person referred to in
clause (a) or clause (b) or clause (c) or clause (cc) or
clause (d) of sub-section (3) of section 13, shall be deemed
to be income of such trust or institution derived from
property held under trust wholly for charitable or religious
purposes during the previous year in which such services are
so provided and shall be chargeable to income-tax
notwithstanding the provisions of sub-section (1) of section
11.
Explanation.-For the purposes of this sub-section, the
expression "value" shall be the value of any benefit or
facility granted or provided free of cost or at concessional
rate to any person referred to in clause (a) or clause (b)
or clause (c) or clause (cc) or clause (d) of sub-section
(3) of section 13.
(3) Notwithstanding anything contained in section 11, any
amount of donation received by the trust or institution in
terms of clause (d) of sub-section (2) of section 80G in
respect of which accounts of income and expenditure have not
been rendered to the authority prescribed under clause (v)
of sub-section (5C) of that section, in the manner specified
in that clause, or which has been utilised for purposes
other than providing relief to the victims of earthquake in
Gujarat or which remains unutilised in terms of sub-section
(5C) of section 80G and not transferred to the Prime
Minister's National Relief Fund on or before the 31st day of
March, 2004 shall be deemed to be the income of the previous
year and shall accordingly be charged to tax.
What is Income of trusts or institutions from contributions? Section 12 of Income Tax Act 1961
What is Conditions for applicability of sections 11 and 12? Section 12A of Income Tax Act 1961
What is Procedure for registration? Section 12AA of Income Tax Act 1961
Section 12AB of Income Tax Act - Procedure for fresh registration
What is Section 11 not to apply in certain cases? Section 13 of Income Tax Act 1961
What is Salaries? What are Deductions from salaries? Section 15 and 16 of Income Tax Act 1961
What is Salary, perquisite and profits in lieu of salary? Section 17 of Income Tax Act 1961