The Ministry of Finance (Department of Revenue) has notified that the provisions of Chapter XVII of the Income-tax Act, 1961 — which primarily deals with Tax Deducted at Source (TDS) — will not apply to payments received by the International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) from July 18, 2025.
This exemption has been granted under sub-section (1F) of section 197A of the Income-tax Act, 1961 and is in alignment with the privileges accorded under the United Nations (Privileges and Immunities) Act, 1947. The exemption is also read in conjunction with the External Affairs Ministry’s notification dated October 28, 1972 [Notification No. UI/222(66)/71], which grants certain immunities to international organizations operating in India.
This move recognizes ICRISAT’s status as an international research institute and ensures that its financial operations related to its mandate in agricultural research and development remain unhindered by TDS compliance burdens.
Notification Details
Notification No. : F. No. 275/27/2025-IT(B)
Date: 18th July, 2025
