The Central Board of Direct Taxes (CBDT), Department of Revenue, Ministry of Finance, has issued three notifications concerning the tax treatment of specified income of the Haryana State Board of Technical Education (HSBTE), Panchkula, and the District Legal Services Authority, Charkhi Dadri.
The notifications provide continuity of exemption for earlier financial years under the relevant savings provisions of section 536 of the Income-tax Act, 2025, following repeal of the Income-tax Act, 1961, and notify the District Legal Services Authority, Charkhi Dadri, under the corresponding exemption framework of the Income-tax Act, 2025 for tax year 2026-27.
Notification No. 103/2026: Haryana State Board of Technical Education, Panchkula
Through Notification No. 103/2026 [S.O. 4307(E)], the Central Government has notified the Haryana State Board of Technical Education (HSBTE), Panchkula, PAN AAAGT0008A, for the purposes of section 10(46) of the Income-tax Act, 1961, in pursuance of the savings provisions contained in section 536(2)(a) to (c) and (e) of the Income-tax Act, 2025.
HSBTE is a Board constituted by the Government of Haryana under the Haryana Board of Technical Education Act, 2008. The notification covers specified income comprising grants, assignments, contributions and loans received from the Central Government and the Government of Haryana; affiliation, examination, migration, transcription and similar fees; royalties and charges, including penalties; bequests, donations, endowments and other contributions; sale proceeds of securities, rent and profits from property vested in the Board; and interest earned on bank deposits.
The exemption is subject to the conditions that HSBTE shall not engage in any commercial activity, that its activities and the nature of its specified income remain unchanged, and that it files its return of income in accordance with the applicable provisions of the Income-tax Act, 1961. Non-compliance may lead to withdrawal of the exemption and initiation of penal action. The notification applies retrospectively to Assessment Year 2024-25, relevant to Financial Year 2023-24.
Notification No. 104/2026: District Legal Services Authority, Charkhi Dadri
Through Notification No. 104/2026 [S.O. 4308(E)], the Central Government has notified the District Legal Services Authority, Charkhi Dadri, PAN AAAGD1414N, for the purposes of section 10(46) of the Income-tax Act, 1961, under the savings provisions of section 536(2)(a) to (c) and (e) of the Income-tax Act, 2025.
The Authority was constituted by the Government of Haryana under the Legal Services Authorities Act, 1987. The specified income covered by the notification includes grants received from the Punjab and Haryana High Court, the National Legal Services Authority and the Haryana State Legal Services Authority; grants or donations received from the Central Government or the Government of Haryana; amounts received under orders of courts; recruitment application fees; and interest earned on bank deposits.
The exemption is conditional upon the Authority not engaging in any commercial activity, maintaining the same nature of activities and specified income, and filing its return of income in accordance with the applicable provisions of the Income-tax Act, 1961. Failure to meet these conditions may result in withdrawal of the exemption and initiation of penal proceedings. The notification is deemed to apply to Assessment Years 2023-24, 2024-25, 2025-26 and 2026-27, corresponding to Financial Years 2022-23 to 2025-26.
Notification No. 105/2026: Exemption continued under the Income-tax Act, 2025
Through Notification No. 105/2026 [S.O. 4309(E)], the Central Government has notified the District Legal Services Authority, Charkhi Dadri, under Schedule III, Table Serial No. 36, read with section 11 of the Income-tax Act, 2025.
The notification covers the same categories of specified income, namely grants from judicial and legal services institutions, grants or donations from the Central Government or the Government of Haryana, amounts received under court orders, recruitment application fees and interest earned on bank deposits.
The benefit is subject to the Authority not undertaking any commercial activity, filing its return of income in accordance with section 263(9)(c)(xiii) of the Income-tax Act, 2025, and ensuring that its activities and the nature of specified income remain unchanged throughout the relevant tax year. Failure to comply with these conditions may result in withdrawal of the exemption and initiation of proceedings under the Act. The notification will apply for Tax Year 2026-27.
These notifications provide a seamless transition from the exemption framework under section 10(46) of the Income-tax Act, 1961 to the corresponding provisions of the Income-tax Act, 2025, while safeguarding tax exemptions available to statutory bodies performing public, educational and legal services functions.
The Notifications can be accessed at: https://a2ztaxcorp.net/wp-content/uploads/2026/08/CBDT-Notification-No.-10345-2026.pdf
