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Charitable trust

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vinod yadav

8 Points Joined December 2018

Donation received by charitable trust is exempt or taxable.
if taxable, what is the rate of tax,?

Replies (3)

HAROON MAFAT

48 Points Joined November 2018

ITR 3 form issue?

If trust having 12A registration then they can claim 20% of donation receipt as an exemption plus 80% need to be applied for charitable purpose... if trust does not have 12A registration then the donation received is taxable at 30% or MMT..

Ravi SADhiyan

Practice

4510 Points Joined July 2017

Originally posted by : vinod yadav
	Donation received by charitable trust is exempt or taxable.if taxable, what is the rate of tax,?

Income from property held for charitable or religious purposes.

11. (1) Subject to the provisions of sections 60 to 63, the following income shall not be included in the total income of the previous year of the person in receipt of the income—

(a) income derived from property held under trust wholly for charitable or religious purposes, to the extent to which such income is applied to such purposes in India; and, where any such income is accumulated or set apart for application to such purposes in India, to the extent to which the income so accumulated or set apart is not in excess of fifteen per cent of the income from such property;

Balance 85% are exempt on the basis of applied

If not applied than taxable at the applicable rate