section 11(1A)

Section-11(1A)] : Capital Gains Of The Trust For Charitable Purposes

If a capital asset held under trust wholly for charitable or religious purposes, is transferred and the whole or any part of net consideration is utilised for acquiring another capital asset for the trust, the capital gains arising from transfer shall be deemed to have been applied to charitable or religious purposes to the extent specified hereunder, namely:—

(i) where the whole of the net consideration is utilised in acquiring the new capital asset, the whole amount of such gain; 

(ii) where only a part of the net consideration is utilised for acquiring the new asset, so much of the net consideration as is equal to the cost of the asset acquired shall be deemed to be applied for charitable purposes and the balance being unutilised portion of the net consideration shall be deemed to be the income of the trust.