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Kalam gives nod to changes in I-T Act
July, 15th 2006

The Taxation Laws (Amendment) Act, 06 got the assent of the President on Friday. The Act has made amendments to the Income-Tax Act to smoothen the approval and monitoring process for certain charitable entities, scientific research associations and prescribed filing of return by them.

The Bill was passed by Parliament in the last Budget session. Simultaneoulsy, it has also toughened the tax rules for charitable institutions.

It has made it mandatory for those institutions with aggregate annual receipts below Rs 1 crore to require all payment exceeding Rs 20,000 to be made through an account payee cheque or bank draft.

It has mandated tax-deducted at source on renting of plant and machinery, equipment, royalty and non-compete fees.

 
 
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