§ 345
Chapter XVII — Special Provisions Relating To Certain Persons
Restriction on commercial activities by a registered non-profit organisation
Income-tax Act, 2025
A registered non‑profit organisation (except those covered by section 346) may only engage in commercial activities if those activities are directly related to achieving its stated charitable objectives. Additionally, the organisation must maintain separate accounting records for any such commercial operations.
📜 Official text of the section +
345. A registered non-profit organisation (other than a registered non-profit
organisation mentioned in section 346) shall not 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.
Restriction on commercial activities by registered non-profit organisation,
carrying out advancement of any other object of general public utility.
Plain-language summary — not the official text. Refer to the bare Act and confirm with a professional for your specific case.