CBDT Condones Form 10AB Delay for 80G Approval: Act Before 31 Dec 2026
CBDT Circular No. 06/2026 condones delay in electronic filing of Form 10AB for Section 80G(5) approval where the application was filed between 1 October 2025 and 31 March 2026. Jurisdictional CIT(Exemptions) must dispose of these applications on merits by 31 December 2026 — here is what eligible trusts and NGOs must do before that deadline.
CA Harun Raaj
Chartered Accountant · Harun Raaj & Associates
Legal basis: Income-tax Act, 1961, Section 119(2)(b) read with the first proviso to Section 80G(5), clause (ii), along with Section 536(2) of the Income Tax Act, 2025 — Effective: CBDT Circular No. 06/2026 dated 2 July 2026. Source: https://www.incometaxindia.gov.in/documents/d/guest/circular-no-06-2026-pdf. Last reviewed by CA Harun Raaj: September 2026.
CBDT has condoned the delay in electronic filing of Form No. 10AB for institutions seeking approval under Section 80G(5) of the Income-tax Act, 1961, where the application was filed electronically between 1 October 2025 and 31 March 2026 but was treated as time-barred. Circular No. 06/2026 (F.No.300176/3/2026-ITA-I), dated 2 July 2026, directs the Jurisdictional Principal Commissioner or Commissioner of Income-tax (Exemptions) to dispose of these applications on merits, with orders to be passed on or before 31 December 2026.
If your trust, NGO, or charitable institution filed — or attempted to file — Form 10AB during this window and the filing was rejected or left unprocessed on account of delay, this circular directly applies to you.
What Form 10AB Covers
Form 10AB is the application for re-registration or renewal of approval filed by:
- Charitable trusts seeking renewal of registration under Section 12AB of the Income-tax Act, 1961.
- Institutions seeking approval under Section 80G(5), which permits donors to claim a deduction on their donations.
- Educational institutions and hospitals seeking approval under Section 10(23C).
Since the Finance Act 2022 amendments, approvals under Sections 12AB and 80G run for a fixed term — five years for regular approval, three years for provisional approval — rather than in perpetuity. Institutions must file Form 10AB before the existing approval expires to retain tax-exempt status and to keep donor deductions available. A missed or delayed filing can put the institution's own Section 11 or 10(23C) exemption at risk, and it stops donors from claiming the Section 80G deduction — which directly affects fundraising.
Key point: CBDT Circular No. 06/2026 condones delay only for Form 10AB applications under Section 80G(5) that were actually filed electronically between 1 October 2025 and 31 March 2026, with CIT(E) orders due by 31 December 2026.
Who the Circular Covers
Condonation of delay does not confer automatic entitlement to approval. The CIT(E) will still examine each application on its own merits — the institution must qualify under Section 80G(5) on substance, including its objects, its accounts, and its compliance with Section 13.
Steps to Take Before 31 December 2026
- Check the e-filing portal (incometax.gov.in) under the trust's PAN, at e-file → Income Tax Forms → Form 10AB, to see whether the application shows as "Pending" or "Rejected due to delay."
- Locate the acknowledgement number generated at the time of the electronic filing — this is the evidence that the filing date fell within the condoned window.
- Write to the Jurisdictional CIT(Exemptions), citing Circular No. 06/2026, quoting the acknowledgement number, and requesting that the application be taken up for processing on merits.
- Keep the supporting file complete — trust deed, registration certificate, audited accounts for the last three years, donor-wise records, and Form 10BD filings — since the CIT(E) will evaluate the application on merits.
- Follow up if there is no communication by November 2026, given the CBDT's direction to dispose of applications by 31 December 2026.
What the Condonation Does Not Guarantee
- No automatic approval — the CIT(E) may still reject the application if the institution does not meet the Section 80G(5) criteria.
- No refund mechanism built into the circular for donors who already filed returns without the 80G deduction because approval had lapsed at the time.
- No extension for Section 12AB separately — this circular addresses Section 80G(5) alone.
Consequences of Missing This Window
If an eligible institution does not act before CIT(E) orders are passed by 31 December 2026:
- The condonation window closes, and the application's status reverts to however the CIT(E) has recorded it.
- Future donations will not qualify for the Section 80G deduction until fresh approval is obtained.
- Donors who relied on the trust's 80G approval in the interim may face disallowance in scrutiny assessments.
An Illustrative Example
A Visakhapatnam-based trust running free clinics had its 80G approval expiring on 30 September 2025. It filed Form 10AB electronically on 15 November 2025, but the CIT(E) treated the application as filed after the prescribed deadline. Under Circular No. 06/2026, this delay is now condoned, and the CIT(E) must dispose of the application on merits by 31 December 2026. The trust should write to its Jurisdictional CIT(Exemptions) citing the circular and the acknowledgement number for the 15 November 2025 filing. This example is illustrative only — verify actual facts against the relevant e-filing portal records.
Institutions that filed within the window should not wait passively for the CIT(E) to act — a written request with the acknowledgement number keeps the file moving and creates a paper trail.
I'm CA Harun Raaj, Visakhapatnam.
If your trust's Form 10AB filing for 80G approval was treated as delayed, reach out to Harun Raaj & Associates to have it taken up on merits before the 31 December 2026 deadline.
---
See Also
Frequently Asked Questions
Does CBDT Circular 06/2026 help if my trust filed Form 10AB on 5 February 2026?
Yes, provided the filing was electronic and falls within the 1 October 2025 to 31 March 2026 window specified in Circular No. 06/2026. The delay in that filing stands condoned, and the Jurisdictional CIT(Exemptions) must take up the application for disposal on merits by 31 December 2026.
Does the circular help if my trust's 80G approval expired in June 2025 and Form 10AB was never filed?
No. Circular No. 06/2026 condones delay only for applications that were actually filed electronically between 1 October 2025 and 31 March 2026 under the first proviso to Section 80G(5), clause (ii). If Form 10AB has not been filed at all, this circular does not apply to that situation.
Does Circular 06/2026 cover both Section 12AB registration and Section 80G approval?
No, Circular No. 06/2026 is specific to approval under Section 80G(5) via the first proviso, clause (ii). It does not address Section 12AB registration, which must be checked and pursued separately.
Can donors file revised returns to claim the 80G deduction once approval is granted after the December 2026 orders?
The circular itself does not set out a donor refund mechanism; once fresh 80G approval is granted, any revised-return action would depend on the donor's own return-filing status and timelines under the Income-tax Act. This is an individual donor decision and cannot be actioned by the trust on the donor's behalf.
Is Form 10BD required for the period when 80G approval had lapsed?
Form 10BD is the donor statement tied to an active 80G registration, so its applicability during a lapsed period needs case-by-case verification against the trust's actual approval status for that year. This point is not addressed by Circular No. 06/2026 and should be confirmed with reference to the trust's own approval timeline.
By when must the CIT(Exemptions) dispose of condoned Form 10AB applications?
Circular No. 06/2026 directs the Jurisdictional Principal Commissioner or Commissioner of Income-tax (Exemptions) to dispose of eligible applications on merits on or before 31 December 2026. Institutions should follow up if there is no communication as this deadline approaches.
What proof do I need to claim the benefit of Circular 06/2026?
The acknowledgement number generated when Form 10AB was filed electronically is the key evidence, since it shows the filing date fell within the 1 October 2025 to 31 March 2026 window specified in the circular. This number should be quoted in the written request to the Jurisdictional CIT(Exemptions).
Need help with this?
Our team handles the paperwork. You focus on your business.