Harpreet (* * * * * *) (1670 Points)
16 October 2010I need a procedure for registration for NGO as there is no registration made (Form12A) and there is no filling of income tax return and NGO does not have 4000000/- turnover. And i need general accounting treatment to remember before making NGO books of account.
Kindly help me.
kanagaraj
(CHARTERED ACCOUNTANT)
(793 Points)
Replied 16 October 2010
Dear Harpreet,
You must register under section12A to claim exemption for the trust, otherwise the income of the trust may be taxed. You don't think that it should be audited only if the Turnover is >40lacs.It is only in the case of income from business only. If the income of the trust is more than the exemption limit prescribed by the act then the trsut must be audited by a CA.
With regards
CAclubindia
