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Case base Query on Exemption u/s 11

Tax queries 1158 views 2 replies

Sagarika

41 Points Joined January 2008

Following are the facts of a case on which I need your opinion for exemption u/s11

1)A trust has been formed to provide medical facilities to public..

2)Trust gives medical services to a pvt ltd company for which it charges adequate consideration.

3)That company is covered u/s 13(3)

My question is :

Is amount charged from pvt ltd co by trust for medical services is exempt u/s11?

Replies (2)

Dear Rekha, Yes trust can take Tax exemption as it is working fo charitable purpose. I believe it doesnt make any difference if it is providing service to companyn also. The most important thing is that Trust should use income for charitable purpose only and not for personal purpose of trustees and key managerial persons Let me know if require any information more. Thanks Vijay