Budget 2020: I-T Act may allow seizure of trustees' personal assets

The new provision is likely to come in Budget next month

The Union Budget is likely to have a provision to make trustees liable in the case of violation of charitable trust norms linked to tax exemptions or registration of entities. 

The new provision under the Income-Tax (I-T) Act may enable the authorities to seize trustees’ personal assets if there’s a breach of objectives governing registered charitable trusts, a source in the government said. This is being considered when Tata Trusts is contesting a recent tax department ruling on a related matter. 

At present, in the case of any such violation, the onus is only on trusts as an institution and not on