Anonymous Donation to Trust

This query is : Resolved

PARAS CHHAJED (Querist)
Follow

09 May 2023 A religious trust is registered u/s 12A of the Income Tax Act. My queries are as follows:

1. Can it receive donation from a single person in a day in cash of Rs.2 lacs or more, whether provisions of s. 269ST of the Income Tax Act, 1961

2. If a person makes a commitment to the trust that he shall donate a sum of Rs.10 lacs for construction of a shed in the premises of the temple managed by the religious trust and then against the commitment pays the donation to the trust in 10 instalments of Rs.1 lac each over the period of 10 months. Whether the same shall fall within the purview of s. 269ST of the Income Tax Act, 1961 ?

3. Will the answer to the above queries be different if the donation is received towards corpus fund of the trust?

4. Will the answer to the above queries be different if the donation is received by a trust which is a Religious cum Charitable Trust?

5. If the trust, which is a Religious cum Charitable Trust, will be liable to tax u/s 115BBC treating the donation received in Cash without disclosing identity of the donor as anonymous donation?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
Follow

10 May 2023 1 and 2 Donation in cash for such trust can't exceed 2000.
3 yes, but should be through bank.
4 No.
5 yes.

PARAS CHHAJED

PARAS CHHAJED (Querist)
Follow

10 May 2023 Rs.2,000 limit for donation made in cash applies vis a vis claim of deduction by the donor u/s 80G of the Income Tax Act, 1961 and in general Religious Trusts are not given registration u/s 80G so in my opinion receipt of donation by any trust in cash exceeding Rs.2,000 from a donor is not barred. My question is with regard to applicability of provisions of s. 269ST. Kindly guide.

With respect to donation towards corpus, I understand that there should be specific direction from the donor that such donation shall form part of corpus and details f identity of the donor should be available with the trust.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)
Follow

10 May 2023 1. No ,because 269 ST attracts to religious trust as well.

Ps:- > Rs.2000 issue is for donor and not for donee - inference - 80G(5D).

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

Manjunath J

Rahul Kulkarni

Badhri Narayanan

RAVINDRA KUMAR

kesav

Subscribe Now

Anonymous Donation to Trust

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA