Income Tax Act 2025: Section 345 for Tax Year 2025-26

Section 345, Income Tax Act 2025: Non-profits can conduct commercial activities only if incidental to their objectives & maintain separate accounts.

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Restriction on commercial activities by a registered non-profit organisation

[As per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]

No registered non-profit organisation, other than a registered non-profit organisation, carrying out advancement of any other object of general public utility, shall carry out any commercial activity unless—

(a) such commercial activity is incidental to the attainment of the objectives of the registered non-profit organisation; and

(b) separate books of account are maintained for such activities.


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