Form 112 Income Tax Rules 2026 pdf download and Key points
FORM NO. 112
[See rule 188]
Audit report under section 348 in the case of a registered non-profit organisation (NPO)
Form No. 112 under the Income-tax Rules, 2026, replaces the old Forms 10B and 10BB. It is a comprehensive audit report for registered non-profit organisations (NPOs) under the new Income-tax Act, 2025.
Here are all the key points regarding Form No. 112:
1. Purpose of the Form Form 112 is a mandatory audit report of the accounts of a registered non-profit organisation for a tax year, required to be furnished electronically under Section 348 of the Income-tax Act, 2025.
2. Applicability (Who Must File) It must be filed by any registered non-profit organisation whose total income—computed without giving effect to the exemption provisions of Chapter XVII-B of the Act—exceeds the maximum amount which is not chargeable to income-tax in a tax year. Such organisations must get their accounts audited by an accountant and furnish this report.
3. Importance and Consequence of Non-Filing Filing Form 112 is mandatory for eligible NPOs. An NPO can only claim tax exemptions under various provisions of Chapter XVII-B in their subsequent income tax return if they have successfully furnished this audit report within the prescribed due date.
4. Frequency and Due Date
- Frequency: It must be filed annually.
- Due Date: It must be filed one month prior to the due date for furnishing the return of income under section 263(1) of the Act (which generally translates to on or before 30th September of the year following the tax year).
5. Classification: Small vs. Large NPO A major feature of Form 112 is that it dynamically adapts based on whether the NPO is “Small” or “Large”. A Small Registered NPO is one that fulfills all three of the following conditions:
- Its regular income under section 335 does not exceed ₹5 crores during the tax year.
- It has not received foreign contributions exceeding ₹10 lakhs during the tax year.
- It has not applied income exceeding ₹10 lakhs outside India during the tax year. If an NPO fails to meet any of these three conditions, it is classified as a Large Registered NPO.
6. Structure of Form 112 The form consists of the following components:
- Certificate of the Chartered Accountant.
- Part A (Personal Information): Captures details like PAN, Name, Tax Year, Addresses, and specifically asks for the financial metrics required to determine if the auditee is a small or large NPO.
- Part B (Other Information): Captures detailed information pertaining to the audited accounts/income, structured under various rows. This includes details of the NPO’s formation, objects, registration/approval details, change in management, donations received, and application of income.
- Schedules: Depending on whether the NPO is small or large, the form dynamically populates applicable schedules. Some data is also pre-filled based on the ITR and data filled in the schedules.
- Notes: Provides clarifications wherever required to support filling the details.
7. Mode of Filing and Rules
- Online Only: Form 112 can only be submitted electronically/digitally on the Income Tax e-Filing portal.
- PAN Mandatory: It cannot be submitted without a valid Permanent Account Number (PAN).
- No Editing: Once the form is submitted and an acknowledgment is generated, it cannot be edited.
8. Documents Required for Filing The accountant or NPO may need the following documents to prepare and file Form 112:
- Instrument Deed or Modification Deed(s).
- Registration/Approval Documents.
- Audited Financials for the Tax Year.
- Forms 113, 108, and 109 filed for the tax year(s).
- FCRA return/statement.
- Annual Information Statement (AIS) and TDS returns.
9. Key Updates and Simplifications in the 2026 Rules
- Consolidation: The earlier Form 10B and 10BB have been merged into this single, common audit form.
- Terminology Alignment: Words like “Assessment year/Previous year” have been replaced with “Tax year“, and the phrase “fund or trust or institution…” is replaced with “registered non-profit organisation” to align with the new Act.
- Related Persons: The term “specified person” has been replaced with “related person” (as per section 355(h) of ITA, 2025). Information pertaining to related person transactions is now sought without restrictions to facilitate proper scrutiny.
- Arrangement of Information: Specified violations and disallowances of expenditure are now numerically arranged and aligned with the specific sub-sections of sections 351 and 353 of the ITA, 2025.