It
is hereby notified for general information that the organization
Auroville Foundation, Auroville, Tamil Nadu has
been approved by the Central Government for the purpose of clause (ii) of
sub-section (1) of section 35 of the Income-tax Act, 1961 (said Act), read with
Rules 5C and 5E of the Income-tax Rules, 1962 (said Rules), from Assessment
year 2009-2010 onwards in the category of 'other Institution', partly
engaged in research activities subject to the following conditions, namely :–
(i)
The sums paid to the approved organization shall be utilized for scientific
research;
(ii)
The approved organization shall carry out scientific research through its
faculty members or its enrolled students:
(iii)
The approved organization shall maintain separate books of accounts in respect
of the sums received by it for scientific research, reflect therein the amounts
used for carrying out research, get such books audited by an accountant as
defined in the explanation to sub-section (2) of section 288 of the said Act
and furnish the report of such audit duly signed and verified by such
accountant to the Commissioner of Income-tax or the Director of Income-tax
having jurisdiction over the case, by the due date of furnishing the return of
income under sub-section (1) of section 139 of the said Act;
(iv)
The approved organization shall maintain a separate statement of donations
received and amounts applied for scientific research and a copy of such
statement duly certified by the auditor shall accompany the report of audit
referred to above.
2. The Central Government shall withdraw the approval if the
approved organization:-
(a)
fails to maintain separate books of accounts referred
to in sub-paragraph (iii) of paragraph 1; or
(b)
fails to furnish its audit report referred to in
sub-paragraph (iii) of paragraph 1; or
(c)
fails to furnish its statement of the donations
received and sums applied for scientific research referred to in sub paragraph
(iv) of paragraph 1; or
(d)
ceases to carry on its research activities or its
research activities are not found to be genuine; or
(e)
ceases to conform to and comply with
the provisions clause (ii) of
sub-section (1) of section 35 of the said Act read with rules 5C and 5E of the
said Rules.
[F.No.203/68/2009/ITA-II]