In a significant push for administrative reform in the non-profit sector, the Goa Chamber of Commerce & Industry (GCCI) has submitted a formal representation to the Central Board of Direct Taxes (CBDT), advocating for a faceless and fully digital registration mechanism for Charitable Trusts under Sections 12AB and 80G of the Income Tax Act.
The representation was submitted on July 28, 2025, and addressed to the Chairman of the CBDT in New Delhi. It was also marked to the Chief Commissioner of Income Tax, Goa.
At present, Charitable Trusts and Not-for-Profit Institutions in Goa face a cumbersome process to obtain these registrations, which are essential for tax exemptions on charitable income (12AB) and tax deductions for donors (80G). Despite submitting documents online, trustees are currently required to attend physical hearings at the Income Tax Department’s regional office in Bengaluru.
“This travel requirement imposes unnecessary logistical and financial burdens on small trusts, especially as most trustees serve on an honorary basis and operate with limited initial funding,” said Mrs. Pratima Dhond, President of GCCI. “The current system acts as a deterrent to the formation and growth of charitable organisations in the state.”
GCCI’s appeal proposes the implementation of a faceless system, mirroring the existing faceless assessment framework already being successfully used by the Income Tax Department. In exceptional circumstances where hearings are warranted, the Chamber recommends that they be held at the local Income Tax office in Goa.
By easing the compliance process and removing the need for travel, GCCI believes the Central Government can encourage the growth of formalised charitable institutions and enhance civic engagement across Goa. This aligns with the government’s broader vision of promoting a taxpayer-friendly, digitally enabled, and reform-oriented system.
GCCI’s call for reform has been welcomed by several civil society organisations in the state, who echo the need for accessible and streamlined processes to foster community development.
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