Form 71: Accountant verification of exempt income of a specified fund attributable to an offshore banking unit investment division
Source checked 21 October 2026 · Original author: Finin2min Editorial Desk
Purpose, person and period
Accountant verification of exempt income of a specified fund attributable to an offshore banking unit investment division.
The accountant verifies the Rule 142 documentary conditions in Form 71; a fund’s own annual statement does not replace this professional verification.
Period gate: This numbered form belongs to the Income-tax Rules, 2026, effective 1 April 2026. The predecessor 10-IL is a concordance, not permission to change an earlier-year filing into a new-law form. For earlier periods, use the applicable 1961 Act form and saved procedure.
Controlling rule and source pages
Rule 142; . Physical PDF pp 513-514; printed Gazette pp 2045-2046.
Rule 142 — connected rule text
142. Conditions referred to in Schedule VI [Note 1(g)(ii)(B)] to Act required to be fulfilled by an investment division of an offshore banking unit. — (1) For the purposes of Schedule VI [Note 1(g)(ii)(B)] to the Act , an investment division of an offshore banking unit shall fulfil the following conditions: — (a) it shall maintain separate accounts for the registered investment division reflecting the true and fair accounts of all transactions relating to the investment division and whic h shall ensure that direct and indirect expenses relating to the incomes referred to in rule 141 and other incomes, are properly recorded, accounted for and apportioned thereto; (b) it shall get the accounts referred to in clause (a), audited by an accoun tant before the specified date and such accountant shall furnish by that date the report of such audit in Form No. 71, electronically under digital signature, and duly verified in the manner indicated therein; (c) it shall maintain proper documentation in respect of — (i) inbound remittance for buying and selling the investments; and (ii) the use of inward remittance made to India; (d) it shall maintain bank statement of all accounts of the registered investment division; (e) it shall maintain contract notes relating to purchase and sale of securities by the registered investment division; and (f) it shall maintain a statement of securities issued by the custodian. (2) The income of a specified fund attributable to an eligible investment division shall not be exempt under section 11(1) read with Schedule VI [Table: Sl. Nos. 1 to 4] to the Act unless it complies with sub-rule (1)(b) and rule 141(3). (3) For the purposes of this rule, — (a) ―accountant‖ shall have the meaning assigned to it in section 515(3)(b); (b) ―investment division of an offshore banking unit‖ shall have the meaning assigned to it in Schedule VI [Note 1(b)] to the Act; (c) ―registered investment division‖ shall mean an investment division of an offshore banking unit which fulfils the condition specified in Schedule VI [Note 1(g)(ii)(A)]; (d) ―securities‖ shall have the meaning assigned to it in Schedule VI [Note (1)(e)] to the Act; and [PDF PAGE 108] 1640 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II—SEC. 3(i)] (e) ―specified date‖, in relation to the accounts of the registered investment division of a ny tax year, means a date one month prior to the due date specified under section 263(1)(c) for the said tax year.
Completed field illustration
Fictional data, not for filing. A neutral accountant-field model lists all seven documentary conditions for the hypothetical investment division in Form 70.
| Form field / block | Completed fictional entry |
|---|---|
| Assessee / PAN / address | Example Eligible Investment Division / synthetic ZZZCE0000Z / Model IFSC Road, GIFT City |
| Offshore banking unit / address / TY | Example Offshore Banking Unit / same model IFSC address / 2026-27 |
| Row 4(i): separate division accounts | Yes in hypothetical evidence set ED-1 |
| Row 4(ii): accountant audit of those accounts | Assumed Yes solely in scenario; this educational model is not that audit |
| Row 4(iii): investment inbound-remittance documents | Yes, model references ED-3 |
| Row 4(iv): inward-remittance use documents | Yes, model references ED-4 |
| Row 4(v): all account bank statements | Yes, model references ED-5 |
| Row 4(vi): purchase/sale contract notes | Yes, model references ED-6 |
| Row 4(vii): custodian securities statement | Yes, model references ED-7 |
| Accountant verification / signature / UDIN | MODEL ROLE / NOT SIGNED / none issued |
This illustrates the named fields, not every possible schedule. Use the complete official extract for additional applicable fields, annexures and verification. “Not signed” means no professional certification or authority action has occurred.
Reconcile the example
- All seven prescribed yes/no questions are shown individually.
- The division, offshore unit and tax year agree with Form 70.
An assumed Yes is not evidence and no audit has been performed. Only a qualified accountant examining actual books and supporting records can give the real verification.
Prepare, furnish and retain
- Use the form identity and period above, then determine the person who prepares, issues or verifies it from Rule 142. An authority-issued order is not an applicant filing.
- Collect the records that support the actual fields in the example; keep any mandatory schedules and annexures specified in the complete source form.
- Reconcile dates, amounts, units and identifiers to the underlying records. Preserve the applicable rule version and any later correcting notification.
- Where the rule prescribes electronic furnishing, use the current official utility/schema and authorised verification. A local PDF does not produce a portal acknowledgement.
- Retain the submitted version, supporting schedules and actual acknowledgement or issued certificate/order, as applicable. This fictional model supplies none of those evidential outcomes.
Download the correct documents
Official Form 71 source extract Filled sample — fictional field illustration
The official extract preserves source pages; later amendments are supplied with affected forms. Read the April corrigendum where its printed-page corrections apply. The filled field illustration is an educational model and cannot be filed.
Primary sources
Questions readers ask
Does this sample prove approval, filing or a professional conclusion?
No. It completes the named fields using synthetic facts. It has no real signature, DSC, approval or acknowledgement.
Can I use the legacy form number for a current tax-year obligation?
Establish the governing period first. A predecessor number is a cross-reference; earlier-year procedures and current-year forms must be kept distinct.