Books of account
[Section-347 as per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]
Where the total income of a registered non-profit organisation, without giving effect to the provisions of this Part, exceeds the maximum amount which is not chargeable to income-tax in any tax year, such registered non-profit organisation shall be required to keep and maintain the books of account and other documents in such form and manner and at such place, as prescribed.
FAQs on Section 347 of Income Tax Act 2025
What is the applicability of Section 347 of the Income Tax Act, 2025?
Section 347 applies to registered non-profit organisations whose total income, before giving effect to the provisions of this Part, exceeds the maximum amount not chargeable to income-tax in any tax year.
What are the requirements under Section 347 for registered non-profit organisations?
Such organisations are required to keep and maintain books of account and other documents.
In what form and manner must books of account be maintained under Section 347?
Books of account and documents must be maintained in the form and manner as prescribed by the rules framed under the Income Tax Act, 2025.
Where must the books of account be maintained?
They must be maintained at the place prescribed by the rules notified under the Act.
What is the trigger for maintaining books of account under Section 347?
The trigger is the total income of a registered non-profit organisation exceeding the maximum amount not chargeable to tax, calculated before applying the provisions of this Part.
Is the obligation to maintain books dependent on exemptions or deductions?
No, the obligation is based on total income before giving effect to any exemptions or deductions under this Part.
What happens if a registered non-profit organisation fails to maintain books of account as required under Section 347?
Failure to maintain prescribed books may attract penalties or other consequences as specified elsewhere in the Income Tax Act, 2025.
Does Section 347 apply to all non-profit organisations?
It applies only to registered non-profit organisations with total income exceeding the specified threshold.
Is there a specific threshold mentioned in Section 347?
The section refers to the maximum amount not chargeable to income-tax, which is notified separately under the Act.
Who prescribes the form, manner, and place for maintaining books under Section 347?
The form, manner, and place are prescribed by rules made under the Income Tax Act, 2025.
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