Notification regarding filing of Form No. 61 A – Non applicability to NGOs

It has come to our notice that there is a fare bit of confusion regarding filing of Form 61 A for NGO. Therefore we are issuing the following clarification :-

NGOs are not covered under any of the following categories and therefore are not required to file form 61A.

To keep a watch on high value transactions undertaken by the taxpayer, the Income-Tax law has framed the new concept of furnishing of  Statement of Financial Transactions (SFT) in Form No 61A which has to be filed before 31.05.2017 (now extended to 30.06.2017, Notification attached). It has replaced earlier annual information return reporting.

The following persons shall be required to furnish statement of financial transactions or reportable accounts registered or recorded or maintained by them during a financial year to the prescribed authority on or after 1st day of April, 2016.

·         Any person who is liable for audit under section 44AB of the Act

·         Banking Company

·         Co-operative Bank

·         Post Master General of Post office

·         Nidhi referred to in sec 406 of the Companies Act 2013

·         Non-banking Financial Company (NBFC)

·         Any Institution issuing Credit Card

·         Company or Institution issuing bonds or debentures

·         Company issuing shares

·         Trustee of a Mutual Fund

·         Authorized Dealer, Money Changer, Off-shore Banking Unit or any other person defined in FEMA, 1999

·         Inspector-General or Sub-Registrar appointed under Registration Act, 1908

Since the NGO does not fall in any of the above categories, therefore, it is not required to file Form 61A.