Circular No. 11/2002

1012. Exemption from requirement of deduction of income-tax at source on payment to Ramakrishna Math and Ramakrishna Mission, Kolkata, whose income is exempt under section 10(23C)(iv) of the Income-tax Act, 1961

What this is

Circular No. 11/2002 was issued by the Central Board of Direct Taxes on 22 November 2002. Its subject is 1012. Exemption from requirement of deduction of income-tax at source on payment to Ramakrishna Math and Ramakrishna Mission, Kolkata, whose income is exempt under section 10(23C)(iv) of the Income-tax Act, 1961.

This grants an exemption or a relief under a provision that allows one. Read the conditions attached: an exemption notification is construed strictly, and a condition missed is the exemption lost.

What it does

Widens the no-deduction facility given to Ramakrishna Math and Ramakrishna Mission, Kolkata, whose income is exempt under section 10(23C)(iv). Circular No. 3/2002 had allowed them to receive income without deduction under sections 193, 194A and 194K, and had named interest on Central and State Government securities in particular. The Board now clarifies that interest on all securities covered by section 193 may be paid to them without deduction, and that these include the Government securities already specified.

Why it was issued

The earlier circular's specific mention of Central and State Government securities had left doubt whether other securities within section 193 were also covered.

Who it reaches

Payers of interest on securities to Ramakrishna Math and Ramakrishna Mission, Kolkata
The two named institutions themselves
Assessing Officers examining a nil deduction on securities interest

The provisions it speaks to

Left, the provision of the Income-tax Act, 1961 as the instrument itself names it. Right, the section of the Income-tax Act, 2025 that the department’s own concordance maps it to — which is where the same ground is now covered.

Under the 1961 Act	Now
s.10	s.11, s.19
s.193	s.393

The instrument, as the Board published it

The words below are the department’s own, reproduced from its published text. Where the department’s copy carried a publisher’s notes after the instrument, those are not reproduced.

1012. Exemption from requirement of deduction of income-tax at source on payment to Ramakrishna Math and Ramakrishna Mission, Kolkata, whose income is exempt under section 10(23C)(iv) of the Income-tax Act, 1961
1. Vide Circular No. 3/2002, CBDT had allowed Ramakrishna Math and Ramakrishna Mission, Kolkata, to receive incomes without tax deduction at source under sections 193, 194A and 194K. In para 2 of the said Circular it has been stated that the incomes by way of interest on securities of the Central and State Governments may be paid to the said assessees without tax deduction at source.
2. It is further clarified that interest on all securities covered under section 193 may be paid to Ramakrishna Math and Ramakrishna Mission without tax deduction at source. These securities shall also include securities of Central and State Governments already specified vide Circular No. 3/2002.
Circular : No. 11/2002, dated 22-11-2002.

What to watch

The relief is institution-specific; it does not extend to any other body exempt under section 10(23C)(iv).
It covers securities interest within section 193, and the sections 194A and 194K limbs come from the earlier Circular No. 3/2002, which must be read with this one.
A no-deduction facility of this kind rests on continued exemption of the recipient, which the payer cannot verify for himself.
Section 194K as referred to here has since been omitted and later reintroduced in a different form.

Where you meet it

When a bank or company is asked to pay interest on securities to these institutions gross, and its TDS return shows a nil deduction.

What it names

It mentions. Circular No. 3/2002

On the same provision

Other instruments in this library that name the same provision of the 1961 Act. They are not necessarily still operative, and a later one may have replaced an earlier one without saying so.

Notification No. 116/2026 [F. No.195/13/2025-ITA-I] / SO 4706(E) : Notification in the case of Maharashtra Electricity Regulatory Commission — [भाग II—खण् ड 3(ii)] भारत का रािपत्र : असाधारण 3 25 August 2026
Notification No. 112/2026 [F. No. 300196/6/2026-ITA-I] / SO 4458(E) : Notification in the case of District Legal Service Authority, Panchkula — Ministry of Finance 11 August 2026
Notification No. 109/2026 [F. No. 300196/39/2025-ITA-I] / SO 4321(E) : Notification section 536 (1) of the Income Tax Act, 2025 (30 of 2025) in the case of Odisha Joint Entrance Examination Committee — [भाग II—खण् ड 3(ii)] भारत का रािपत्र : असाधारण 3 4 August 2026
Notification No. 107/2026 [F. No. 300196/65/2018-ITA-I] / SO 4319(E) : Notification section 536 (1) of the Income Tax Act, 2025 (30 of 2025) in the case of Noida Special Economic Zone Authority — [भाग II—खण् ड 3(ii)] भारत का रािपत्र : असाधारण 3 4 August 2026
Notification No. 106/2026 [F. No. 300196/65/2018-ITA-I] / SO 4318(E) : Notification section 536 (1) of the Income Tax Act, 2025 (30 of 2025) in the case of Noida Special Economic Zone Authority — [भाग II—खण् ड 3(ii)] भारत का रािपत्र : असाधारण 3 4 August 2026
Notification No. 104/2026 [F.No.300196/1/2026-ITA-I] / SO 4308(E) : Notification section 536 (1) of the Income Tax Act, 2025 (30 of 2025) in the case of District Legal Service Authority, Charkhi Dadri — Ministry of Finance 3 August 2026

← Circular No. 13/2002 · Circular No. 12/2002 →

A circular binds the department, not you and not a court. The Board issues a circular to its own officers. An assessee may hold the department to a circular that helps him; the department cannot hold an assessee to one that hurts him, and the Tribunal and the courts decide the law for themselves.

Source: the Income Tax Department’s own published text — its page for this instrument.