U/s 12a

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This query is : Resolved

ALOK KUMAR PATHAK (Querist)

28 May 2018 IF ANY REGISTERED ADVOCATE ASSOCIATION IS CONTINUOUS WORKING UNDER REGISTERED BI-LAUDGE AND NOT REGISTERED UNDER SECTION 12-A OF I.T.ACT 1961. ADVOCATE ASSOCIATION IS GAINING RECEIPT FROM A NUMBER OF ADVOCATES MEMBERS,INTEREST ON F.D.R,SHOP RENT ETC. WHETHER WHOLE RECEIPT SHALL TAXABLE OR PARTIAL INCOME SHALL TAXABLE. BANK IS DEDUCTING T.D.S ON INTEREST REGULARLY AND ADVOCATE ASSOCIATION IS NOT FILLING RETURN, BUT WANTS TO FILE RETURN FOR A/Y 2018-19. PLEASE SUGGEST ME WITH ACT, INCOME SHALL TAXABLE OR RECEIPT SHALL TAXABLE.

Nikhil Kaushik

Nikhil Kaushik (Expert)

28 May 2018 Alok in absence of 12A, cannot claim exemption from tax on donations. You will have to offer tax on the net surplus.

Bhaskaran Chackrapani Warrier

Bhaskaran Chackrapani Warrier (Expert)

29 May 2018 If receipts from Advocates is periodical membership fee and it is utilized for the
objects of the association, then that receipt can be claimed as exempted following
'mutuality concept', but rent and FD interest is taxable under the head 'income
from house property' and 'income from other sources' respectively.

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