CBDT introduces new rules for business trusts and investment funds, tightening compliance and updating tax forms

New Delhi: The Central Board of Direct Taxes Tuesday introduced new rules for business trusts and investment funds, tightening compliance requirements and updating tax return forms.

Under the new rules, effective immediately, business trusts are required to file statements of income distributed to investors with the Commissioner of Income Tax (CIT) by June 15, instead of November 30.

The updated forms, including Form 64A for business trusts, require separate disclosure of dividend income from companies opting for a lower tax rate and income.


Form 64A includes the statement of income paid or credited by a venture capital company.

Forms 64C and 64D for investment funds have been revised to reflect changes in capital gains tax rates.

The consolidated statement of income is to be filed online and the form for furnishing to the unitholders is to be generated online.

The new regulations are likely to impact reporting of Real Estate Investment Trusts (REITs), Infrastructure Investment Trusts (InvITs), Alternative Investment Funds (AIFs), and Asset Reconstruction Company (ARC) trusts.