CBDT Grants Income Tax Exemption to Real Estate Regulatory Authority, Punjab

By: AdminFebruary 12, 2025Categories: CBDT Notification | Notification and Circular4 Min Read

The Central Board of Direct Taxes (CBDT) has issued Notification No. 16/2025 on February 12, 2025. It grants income tax exemption under Section 10(46) of the Income-tax Act, 1961, to the Real Estate Regulatory Authority, Punjab (PAN: AAAJR1281N).

This exemption applies from the assessment year 2024-25, provided the authority continues operating under The Real Estate (Regulation and Development) Act, 2016.

Key Highlights of the Notification

Exemption Scope

  • The Real Estate Regulatory Authority, Punjab, is exempt from income tax under Section 10(46) of the Income-tax Act, 1961.
  • The exemption remains valid as long as the authority operates for its intended purposes under The Real Estate (Regulation and Development) Act, 2016.

Legal Basis

  • The notification is issued under sub-clause (b) of clause (46A) of Section 10 of the Income-tax Act, 1961.
  • It recognizes the Real Estate Regulatory Authority, Punjab, as eligible for tax exemption.

Effective Period

  • The exemption applies from AY 2024-25 onwards.
  • Compliance with the prescribed conditions is necessary to maintain eligibility.

Implications for the Real Estate Sector

This tax exemption supports the regulatory functions of the Real Estate Authority in Punjab. It promotes better governance in the real estate sector.

By reducing the financial burden, the exemption allows the authority to focus on regulating and ensuring transparency in the market.

This decision aligns with the government’s goal of strengthening real estate regulations and boosting investor confidence in Punjab’s property sector.

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