Trust

This query is : Open

mohanlal (Querist)
Follow

01 December 2011 a trust registred under sec 12A of income tax act . earned income on fd . of Rs. 12 lac on grant received from Govt. the trust had not yet started any business. all the money remains in bank . nothing is not yet use for business.
Q1- can trust get exemption.
Q2- if taxable under what head. what is tax liability.
thanks

CS, Deepak Pratap Singh

CS, Deepak Pratap Singh (Expert)
Follow

01 December 2011 The income earned as interest on FD which is granted by the Government will be taxed as Income from Other sources and same will be taxed in the year in which it started business according to the provisions of Income Tax Act, 1961.

Message likes : 1 times

mohanlal

mohanlal (Querist)
Follow

06 December 2011 i want to know , can trust can get exemption for the same or not

Upgrade to CAclubindia Pro. Subscribe Now!