Centre Notifies Oman's Social Protection Fund For Tax Exemption On Eligible Investments In India

The central government has notified Oman's Social Protection Fund (SPF) as a specified person eligible to claim tax exemption on qualifying investments made in India under the Income Tax Act, 2025.

This will apply to eligible investments made from the date of publication of the notification in the Official Gazette until March 31, 2030, subject to prescribed conditions.

The notification, issued by the Central Board of Direct Taxes (CBDT), requires the fund to file income tax returns within the prescribed timelines along with a compliance certificate from an accountant. It must also disclose details of its investments in India every quarter.

To remain eligible, the fund must continue to be regulated under Omani law and maintain separate accounts for investments qualifying for the exemption. Its earnings and assets can be used only for statutory pension and social security obligations, and it cannot borrow to make investments in India.

The notification also bars the fund from taking part in the day-to-day management of investee entities, while allowing it to exercise monitoring rights, including appointing directors to protect its investment. Any breach of the prescribed conditions will make the fund ineligible for the exemption.

Notification No.: 84/2026/F. No. 500/PF-15/S10(23FE)/FT&TR-II