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Corpus fund donation

Tax queries 521 views 3 replies

Hello all,

For AY 2019-20, I am filing ITR-7 for Trust. Trust has received Rs. 1344887 as Corpus fund donation. As per section 11(1) this should not be included in Total income but in govt utility it is included in Total income and tax is calculated on the same.

As per section 11(1), income in form of voluntary contribution made with a specific direction that they shall form part of the corpus of the trust , shall not  be included in the total income of the previous year of the person in receipt.

Please clarify why this income is getting taxed for AY 2019-20.

 

Thanks.

 

Replies (3)
Corpus Fund donation goes directly to Balance Sheet. And not subject to tax.
All procedural formalities to be complex with to get section 11 benefits
good clarification and information

in Schedule-J of ITR -7

i- Balance in the corpus fund

ii-Balance in the non corpus fund

 

In my balance sheet of Trust the amount are as follows:

Members Capital Fund Rs.5 Lakh

Excess of Income over Expenditure Rs.1 Lakh

 

What amount should come under Corpus Fund and Non Corpus Fund?

 


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