CBDT Approval for Regional Centre for Biotechnology: Tax Benefit on Donations for Scientific Research
The Central Board of Direct Taxes has formally recognised Regional Centre for Biotechnology, Faridabad, Haryana as an approved institution for scientific research, allowing eligible donations to attract tax benefits under the Income-tax Act, 2025. This approval is granted under section 45(3)(a)(i) read with section 45(4)(b) and is operative for a specified block of tax years, subject to strict compliance with the applicable Income-tax Rules, 2026.
This write-up explains the legal consequences of Notification No. 67 of 2026-CBDT dated 30 May 2026, the conditions imposed on the institution, and the procedural requirements for both the assessee-institution and donors seeking to claim tax benefits.
Statutory Framework Behind the Approval
Relevant Provisions of the Income-tax Act, 2025
The notification is anchored in the following provisions of the Income-tax Act, 2025:
Section 45(3)(a)(i)– Provides for tax benefit in respect of donations made for scientific research, when paid to specified categories of institutions, including universities, colleges, and similar entities.Section 45(4)(b)– Empowers the Central Government to approve institutions for the purposes ofsection 45(3)(a)(i), thereby notifying which entities qualify to receive tax-beneficial donations.Section 45(4)(a)– Requires approved institutions to prepare and file an annual statement of donations in the prescribed manner.
These provisions collectively ensure that only vetted and compliant research institutions are allowed to receive donations that confer tax benefits upon the assessee making the contribution.
Applicable Rules under Income-tax Rules, 2026
The approval is also explicitly linked to the Income-tax Rules, 2026, particularly:
Rule 32– Governs procedural aspects concerning approved institutions for scientific research.Rule 34– Prescribes conditions and compliances that must be adhered to by such institutions for continuation of approval.Rule 31– Lays down the format, method, and timelines relating to statements of donations and donation certificates (Forms No. 15 and 16).
Collectively, these rules operationalise the statutory mandates of section 45(3)(a)(i) and section 45(4).
Scope and Nature of CBDT Approval
Institution Covered
The notification specifically approves:
Regional Centre for Biotechnology, Faridabad, Haryana (PAN: AAAAR9016J)
This entity is recognised:
- As a “University, college or other institution” category, and
- For the limited purpose of scientific research, as contemplated in
section 45(3)(a)(i)of theIncome-tax Act, 2025.
Accordingly, donations made by an assessee for scientific research to this institution during the specified period will be eligible to be considered under the applicable scientific research donation provisions of the Act, subject to all statutory criteria being met.
Period of Validity
The approval is not perpetual. The notification clearly stipulates its temporal scope:
- Applicable tax years: 2026-2027 to 2030-2031
This means:
- Any eligible donation made on or after tax year 2026-2027 and up to tax year 2030-2031, to the approved institution, can potentially qualify for tax benefit.
- Donations beyond tax year 2030-2031 would not be automatically covered unless the approval is subsequently extended or renewed through a fresh notification.
Assessees and the institution must, therefore, carefully align the timing of donations and compliance actions within this notified window.