AOP-Trust

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HARIPRASATH

Student

43 Points Joined February 2014

An unregistered Trust u/s12A(a)of the IT Act running a school having gross collection of around 70 lacs per annum is liable for TAX AUDIT. ?

Further the rate at which the net income will be taxed?

Thanks

Replies (1)

CA Sunil Kumar

Chartered Accountant

4524 Points Joined July 2014

A Trust not registered would be chargeable to tax as an AOP (association of persons). The total income of the AOP/BOI is taxable, either at the rates applicable to an individual, or at the maximum marginal rate or at a rate higher than maximum marginal rate.
trust shall mandatory have to get their accounts audited if the total income without exceed maximum amount not chargeable to tax.