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Vinod gpta summary query

mohd shafey (article) (106 Points)

14 May 2015

in vg sr smmary pg no 8 unit f bus trust is said to qyalify as a stca if its less thn 36 mnths bt sec 111 a its given as 12 mnths is dere a mistake in printing ... it does happen usually ...plz smone clarify

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SHINY (CA Final Student) (699 Points)
Replied 14 May 2015

Hi mohd shafey

There is no misprinting in the book, for units of Buss Trust to qualify as Short Term, the period is not more than 36mnths and sec 111A is all about that on which all instruments Sec 111A applies i.e on which all instruments Tax rate ll be 15%.

Therefore if u transfer the units of buss trust holding it not more than 36mnths, the tax rate is 15% and not the normal tax rates which is applicable to the assessee.

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mohd shafey (article) (106 Points)
Replied 14 May 2015

thx a lot bro ...sir mst hav told ths in class ..cudnt recllct ...exam pressure u knw ... that was a great explaination ... bst f lck fr ur exams

mohd shafey (article) (106 Points)
Replied 14 May 2015

just one clarifction ... if u hold unit f bt less thn 12 mnth acc to 111a it is 15% then u hold it frm 12 to 36 mnth it shud be. nrmal rates na ... and ftr tht 20 % u said below 36 it will b 15 .. did i get it wrong smhw