Section 10(23C)(via) of the Income Tax Act
Income-tax Act, 2025: s.11
Section 10(23C)(via) falls under section 10 of the Income-tax Act, 1961, which corresponds to section 11 (Incomes not included in total income) of the Income-tax Act, 2025.
Read section 11 of the 2025 Act
Correspondence checked against the ICAI tabular mapping of the two Acts and the BharatTax.co section commentary.
The decision most relied on for Section 10(23C)(via) is CIT v. Programme for Community Organization (116 Taxmann 608), cited in 23 of the 39 judgments on BharatTax that turn on this section.
Leading authorities on Section 10(23C)(via)
A charitable or religious trust is entitled to accumulate twenty-five per cent of the income derived from property held under the trust. Donations received by the assessee constitute its property for the purpose of calculating this accumulation.
An Assessing Officer must pass an order under Section 142(2C) of the Income Tax Act on or before the expiry of the first extension period. Failure to do so may invalidate subsequent proceedings.
Income generated from activities not explicitly part of the trust's main objects, but undertaken to fulfil them, can be considered income applied for charitable purposes. Letting out property for a limited duration to generate funds for the trust's primary objectives is permissible.
A pharmacy shop is an integral part of running a hospital, making its operation ancillary to the dominant object of providing medical services.
