Taxation of trust

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This query is : Resolved

Zala Mihir Arvindbhai (Querist)

30 October 2012 Trust (eligible for exemption u/s. 12A)
not filed return within due date u/s. 139(1)
is eligible for exemption

CA Ayush Agarwal

CA Ayush Agarwal (Expert)

30 October 2012 Lat Date if Audit 30th sept.

Otherwise
Penalty of Rs. 100/- per day for failure to furnish return under sub-sections 4A and 4C of Section 139 [Section 272A(2)]. Similarly penalty of Rs 100 per day can be levied for delay in submitting Audit Report in Form 10B/10BB (272A)(2)(g)

Zala Mihir Arvindbhai

Zala Mihir Arvindbhai (Querist)

30 October 2012 Sir,

Thanks for reply

but i just want to confirm whether trust is still eligible for exemption

CA Ayush Agarwal

CA Ayush Agarwal (Expert)

30 October 2012 Yes, Exemption Will Not be Withdrawn.

But It May be Liable for Withdrawn If AO Think so.You Need to Again Apply for Exemption Certificate.

Zala Mihir Arvindbhai

Zala Mihir Arvindbhai (Querist)

30 October 2012 ok, now fact of the case as under.,

I have one educational charitable trust. we have filed almost our return after due date as mentioned u/s. 139(1) because all previous years there was loss. now this year (i.e. FY 2011-12) we have earned some profit but we have still not filed our return. now my question is

Whether we have to pay tax on such profit (eventhough we have exemption certificate and applied more than 85% income for charitable purpose)or we have just pay only interest for not filling return within timelimit.

CA Ayush Agarwal

CA Ayush Agarwal (Expert)

30 October 2012 No, But Saying is iT is Advisable to File & Get Audited Within Due Date.
Since This is Case of Exemption, & It May Withdrawn by AO at Any Time.

Zala Mihir Arvindbhai

Zala Mihir Arvindbhai (Querist)

30 October 2012 Thanks once again

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