On 2 July 2026, India’s Central Board of Direct Taxes (CBDT) issued Circular No. 06/2026, grantingcondonation of delay for charitable and religious trusts that submitted Form 10AB for the renewal of Section 80G(5) approval after the 30 September 2025 deadline. The measure applies to applications filed electronically between 1 October 2025 and 31 March 2026, including cases previously rejected solely due to late submission.
The measure follows representations from organisations whose 80G approvals were due to expire on 31 March 2026 and who were unable to meet the deadline due to genuine hardship during the transition to the new Registered Non-Profit Organisation (RNPO) framework introduced under the Income Tax Act, 2025. Under this framework, most charitable registrations are now valid for five years and require periodic renewal through Form 10AB, replacing the earlier largely perpetual approval system.
The Central Board of Direct Taxes (CBDT) clarified that delays will be condoned, but applications will continue to be assessed on their merits by the relevant tax authorities, with decisions expected by 31 December 2026.
The circular represents a positive but limited development for the enabling environment by providing corrective relief to organisations affected by the transition and protecting access to a key domestic funding mechanism. Maintaining 80G eligibility allows donors to continue claiming tax deductions on contributions, which is particularly important for smaller and grassroots organisations with limited compliance capacity. However, the measure does not remove the broader compliance challenges introduced by the new renewal regime. The case highlights the need for continued monitoring of how administrative requirements affect the sustainability and funding stability of civil society organisations in India.