Tax Audit for Trusts
This query is : Resolved
01 September 2016
Kindly suggest me whether it is required for a trust to get Audited??
If No, please state some reference in the Act.
01 September 2016
Audit is required for charitable trusts when their income exceeds maximum amount not chargeable to tax before claiming exemption u/s 11 and 12.
01 September 2016
Tax audit is operational only when profits and gains of business or profession are to be computed for the purpose of computation of total income to meet the requirements of the provisions of section 4. That being so, any income which is designated as "incomes which do not form part of total income" have nothing to do and cannot be subjected to the provisions of section 44AB.
Citation :- CIT vs. India Magnum Fund (2002) 81 ITD 295(Mum).
Citation :- CIT vs. India Magnum Fund (2002) 81 ITD 295(Mum).
Message likes :
2 times
01 September 2016
I agree with Mr Warrier that tax audit u/s 44AB not applicable to trusts. But audit applicable and report of auditor has to be filed in Form 10B for those trusts claiming exemption u/s 11 and 12.
Message likes :
1 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Opting our of sec 44AD
- Value of property in capital gain
- Regarding TDS Applicability For Director Remuneration
- Multiple trade mark
- LC charges in relation to Asset purchased should be Capitalised ?
- SALE OF MOTOR CAR BY REGISTERED INDIVIDUAL
- Copyright software
- Transporter Declaration form
- Applicability of GST on deduction for cancellation of Pension policy
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
