The Central Board of Direct Taxes (CBDT), Department of Revenue, Ministry of Finance, has notified the National Commodity Clearing Limited (NCCL) as a recognised clearing corporation for the purposes of section 10(23EE) of the Income-tax Act, 1961, in respect of the Core Settlement Guarantee Fund set up by NCCL.
The notification has been issued vide Notification No. 78/2026, dated July 07, 2026, in exercise of the powers conferred under the relevant provisions of the Income-tax law, including the transitional framework provided under the Income-tax Act, 2025.
Under the notification, NCCL has been recognised as a clearing corporation for the purposes of section 10(23EE) of the Income-tax Act, 1961 for Assessment Years 2019-20 to 2026-27. The provision relates to exemption of specified income of a Core Settlement Guarantee Fund, subject to fulfilment of the conditions prescribed under law.
The recognition is subject to the condition that the Core Settlement Guarantee Fund shall furnish its return of income in accordance with section 139(4C) of the Income-tax Act, 1961.
The notification further stipulates that the National Commodity Clearing Limited shall continue to be recognised as a clearing corporation by the Securities and Exchange Board of India (SEBI).
The CBDT has clarified that failure to comply with the prescribed conditions may result in withdrawal of the exemption available under section 10(23EE) of the Income-tax Act, 1961, in addition to any other action that may be taken under the law.
The notification also takes into account the statutory transition from the Income-tax Act, 1961 to the Income-tax Act, 2025. In accordance with the applicable saving and transitional provisions, relevant pending proceedings and actions are to continue under the prescribed legal framework.
An Explanatory Memorandum accompanying the notification certifies that no person is adversely affected by the retrospective effect of the notification from the year in which the application was filed before the CBDT or the Income-tax Department.
The Notification can be accessed at: https://www.incometaxindia.gov.in/documents/d/guest/notification-78-2026-pdf
