The Central Board of Direct Taxes (CBDT) has granted tax-exempt status to the National Mission for Clean Ganga (NMCG), aiming to empower the mission financially and legally in its pursuit to rejuvenate and protect the Ganga River ecosystem.

Key Developments:

• The CBDT has officially notified NMCG as an exempt authority under clause 46A of Section 10 of the Income Tax Act, 1961, effective from the assessment year 2024–25.
• NMCG qualifies for this exemption as it is constituted under the Environment (Protection) Act, 1986, and meets the legal criteria for exemption status.
• The exemption is subject to the mission maintaining its focus on environmental protection, sustainable development, and public welfare, as per the conditions laid out in the Income Tax Act.
• Prior to this ruling, NMCG faced income tax liabilities exceeding Rs.243 crore, due to being categorized as an Association of Persons (AOP). The exemption helps avoid such future burdens.
• With tax relief in place, NMCG will have improved financial capacity to invest in critical activities like sewage treatment infrastructure, river surface cleaning, afforestation, and pollution monitoring.

This strategic exemption reinforces India's commitment to the Namami Gange programme, allowing better fund utilization and stronger environmental impact through focused river conservation efforts.