An unregistered Trust u/s12A(a)of the IT Act running a school having gross collection of around 70 lacs per annum is liable for TAX AUDIT. ?
Further the rate at which the net income will be taxed?
Thanks
A Trust not registered would be chargeable to tax as an AOP (association of persons). The total income of the AOP/BOI is taxable, either at the rates applicable to an individual, or at the maximum marginal rate or at a rate higher than maximum marginal rate.
trust shall mandatory have to get their accounts audited if the total income without exceed maximum amount not chargeable to tax.
CAclubindia
