Rule 64: Sports association notification conditions
Rule 64 sets the conditions the Central Government must consider before notifying an association or institution under the specified section 133 sports-donation provision. It also limits the notification’s effective period.
Official notified Income-tax Rules, 2026Need advice on Rule 64?
This article is for general information. Read the official Rules and applicable Act amendments, including the Taxation and Other Laws (Amendment) Act, 2026. If you need professional advice for your situation, contact Bizeneed.
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Bare law
Rule 64 - Procedure for specifying an association or institution for purposes of notification under section 133(1)(a)(xxiv)
(1) In specifying an association or institution for notification under section 133(1)(a)(xxiv), the Central Government shall satisfy itself that such association or institution — (a) has as its object the control, supervision, regulation or encouragement in India of the games or sports notified under section 133(7)(e); (b) has a proven record of dedication to the development of infrastructure or promotion of sports or games for at least a period of three years; (c) does not distribute any part of its income in any manner to its members, except as grants to any association or institution affiliated to it; (d) applies the amount received by way of donation referred to in section 133(1)(a)(xxiv) for purposes of development of infrastructure for games or sports in India or for sponsoring of games or sports in India; and (e) maintains regular accounts of its receipt and expenditure and files its return of income regularly.
(2) The notification issued by the Central Government under section 133(1)(a)(xxiv) shall be effective for up to three tax years, including any assessments for tax years prior to the notification date, as specified in the notification.
Rule breakdown
Objects and development record
The body must have the stated objects concerning the notified games or sports in India and a proven record of dedication to infrastructure development or promotion of sports or games for at least three years.
Keep the governing document, activity reports and evidence of the relevant three-year record. A newly adopted object clause alone does not establish that history.
Income distribution restriction
The association or institution must not distribute any part of its income to members in any manner, except grants to an affiliated association or institution.
Review the actual payment arrangements and affiliation evidence. The exception for the stated grants should not be generalised into unrestricted member distributions.
Use the specified donations for the permitted purposes
The donations referred to in the parent provision must be applied to developing infrastructure for games or sports in India or sponsoring games or sports in India.
Keep purpose-specific receipts, expenditure and supporting activity records. General expenditure should not automatically be treated as meeting the identified donation-use condition.
Maintain accounts and regular returns
The body must maintain regular accounts of receipts and expenditure and file its income-tax returns regularly.
Reconcile the donation receipts, permitted expenditure, financial statements and filed returns as part of the notification file.
Read the actual notification period
A notification may be effective for up to three tax years, including any assessments for tax years before its date, as specified in that notification.
The maximum does not mean every notification lasts three years or is automatically retrospective. Check the actual stated years before relying on the notified status.
Key takeaways
At least three-year record
The stated development or promotion history is required.
Restricted distributions and use
Apply the membership and donation-use conditions.
Notification-specific period
Up to three tax years, only as actually specified.
Practical checklist
- Keep governing objects and at least three years of activity evidence.
- Track donation use and affiliated-body grants.
- Retain regular accounts, returns and the actual notification.
Avoid
- Do not assume notified status from sporting activity alone.
- Do not presume automatic retrospective effect or a full three-year term.
FAQs
Does every notification automatically cover three years?
No. The rule provides a maximum and leaves the effective years to the notification.
Are all payments to members permitted?
The rule prohibits income distributions to members except the stated grants to affiliated associations or institutions.
Can a notification specify earlier tax years?
The rule permits the described prior-year coverage where the notification specifies it, within its stated maximum period.
Glossary
- Notified body
- An association or institution specified by the Central Government under the identified section 133 provision.
- Effective period
- The tax years actually specified in the notification, subject to Rule 64’s maximum.