Income tax on Charitable or Religious Trust and related questions:

1. Is a trust is required to file Income Tax Return?

Filing of return us 139 (4A) if total Income before exemption us 11 & 12 exceeds maximum amount which is not chargeable to tax.

2. What is the rate of Income Tax?

Tax rate is applicable same as individual.

3. Is it required to get the accounts audited?

Exemption us 11,12,12A is available if the accounts gets audited when such income is exceeded as  specified point 1.

4. What is the due date for submission of Income Tax Return?

Due date is  30 September of the relevant Assessment Year.

5. Is there any penalty provision for late submission of ITR?

Penalty us 272A is ₹ 100 per day. Upto the date of filing return or upto the date of best judgement assessment

6. Is it possible to submit revised return?

Revision is possible if original return is  filed within due date

7. What will be the consequence if return is filled after due date?

Exemption is not available if return is filled after due date.

8. Is late fee applicable in case of late filing of return ?

Fee for delay 234F is also applicable.

9. Can a trust do business?

Yes it can do business for fulfillment of its objectives.

10. Is there any relationship of business turnover and the availment of exemption us 11 / 12?

Yes, the commercial receipt should not exceed 20% of total receipt.

11. Can exemption us 11 / 12 be disallowed even if approval us 12AA / 10(23C) is not cancelled?

Yes, A.O can disallow such exemption.