National
Election commission seeks de-registration of inactive political parties.
Election Commission of India (ECI) has notified the updated list of registered political parties, seeking deregistration of parties which do not contest elections, also it raised concerns over misuse of income tax exemption law.
There are over two thousand registered unrecognised parties. The Association of Democratic reforms, a watchdog NGO on electoral issues, has reported that the number of registered unrecognised political parties has increased twofold in the last 10 years.
Section 13A of the Income Tax Act, 1961 has given 100% exemption to political parties on its income from house property, income from other sources, capital gains and voluntary contributions received from any person however, subject to certain conditions.
So ECI seeking deregistration of parties which do not contest elections.
Power of deregistration
ECI has the power to register parties under the Representation of the People Act, (RPA) 1951, but it does not have the power to deregister parties that are inactive.
A party can only be de-registered if its registration was obtained by fraud; if it is declared illegal by the Central Government; or if a party amends its internal Constitution and notifies the ECI that it can no longer abide by the Indian Constitution.