26 March 2017
All-your-money-queries-answered
Do political parties also file income tax returns?
Do political parties also file income tax returns?
Purabh Bhasar, Lucknow
Each and every political party is obliged to file a return of their total income under Section 139(4B) of the Income Tax Act, 1961. Large political parties have several units and branches in different states. Receipts and payments of various branches at district or state level are clubbed together to compile the accounts. In cases where units are separately registered as political parties with the Election Commission of India, the requirement of filing return by these units will apply as in the case of the parent unit.