Delhi High Court Grants Tax Exemption to Indian Broadcasting & Digital Foundation

The Delhi High Court upheld the Indian Broadcasting Foundation’s (IBF) tax exemption under Sections 11 & 12 of the Income Tax Act, 1961,

The court ruled that IBF's ₹60 lakh contribution to the Broadcast Audience Research Council (BARC) was for charitable purposes, not an investment. 

Since BARC is a Section 25 (now Section 8) company that cannot distribute profits, the court concluded that IBF's contribution was not intended for income generation. 

The court dismissed the Income Tax Department's appeal, affirming that IBF acted as per government policy and Telecom Regulatory Authority of India (TRAI) recommendations, making its contribution a statutory obligation rather than a discretionary investment.