What is section 13 of Income Tax Act 1961?

What is section 13 of Income Tax Act 1961?

—A trust or institution created or established for the benefit of Scheduled Castes, backward classes, Scheduled Tribes or women and children shall not be deemed to be a trust or institution created or established for the benefit of a religious community or caste within the meaning of clause (b) of sub-section (1).

What is Sec 11 of Income Tax Act?

1) Section 11 provides exemption for income derived from property held under trust wholly for charitable or religious purposes to the extent such income is applied for charitable or religious purpose in India. However, this exemption shall be subject to certain conditions.

What is Section 11/2 of Income Tax?

Accumulation of Income [Section 11(2)] Where 85 % of the income is not applied to charitable or religious purposes , the charitable trust or institution may accumulate or set apart either the whole or part of its income for future application for such purposes.

What is exemption u/s 13A & 13B?

Section 13B: Closely connect with Section 13A is exemption from Income Tax accorded to income of an electoral trust under Section 13B of the Income Tax Act. An “electoral trust” means a trust so approved by the Central Board of Direct Tax in accordance with the scheme made in this regard by the Central Government.

What are the provision under section 13 A?

SEC – 13A: SPECIAL PROVISION RELATING TO INCOMES OF POLITICAL PARTIES Any income of a political party which is chargeable under the head “Income from house property” or “Income from other sources” or “Capital Gains” or “any income by way of voluntary contributions” received by a political party from any person shall …

What is sec10 13A?

House rent allowance (HRA) is received by the salaried class. A deduction is permissible under Section 10(13A) of the Income Tax Act, in accordance with Rule 2A of the Income Tax Rules. You can claim exemption on your HRA under the Income Tax Act if you stay in a rented house and get a HRA from your employer.

What is Section 11 and 12 of Income Tax Act?

Section 12(1) provides that any voluntary contributions received by a trust created wholly for charitable or religious purposes or by an institution established wholly for such purposes shall, for the purposes of section 11, be deemed to be income derived from property held under trust wholly for charitable or …

What is Section 10 11 of income tax?

Section 10(11) of the income tax act—payment of statutory provident fund. Any sum is received of the statutory provident fund relating to the contribution, amount and interest on his termination from the company or firm will be exempted.

What is section 12 of Income Tax?

Section 12 of Income tax act talks about voluntary donation received by a trust for charitable or religious purposes will be income derived from the property held under the trust wholly for the purposes mentioned and can claim exemption following the conditions mentioned in section 11 of the Act.

Under which of the section of the Income Tax Act of 1961 is the income of the political parties exempt?

As per Section 80GGB of the Income Tax Act, 1961, any Indian company or enterprise that donates to a political party or an electoral trust registered in India can claim a deduction for the amount contributed.

Who can claim Section 10 13A?

How is HRA section 10 13A calculated?

HRA Exemption Calculation u/s 10(13A)

  1. Actual HRA received from the employer.
  2. Actual rent paid reduced by 10% of the salary*
  3. 40% of the salary* (50% in case of metro cities)

What is exemption under Section 11 of Income Tax Act 1961?

Exemption under section 11 of income tax act, 1961 Section 11 of Income Tax Act,1961 provides exemptions for Income earned from property held under charitable trusts/societies for the activities carried out on charitable or religious purposes subject to certain terms and conditions. Who can claim the exemption?

What is section 12AA of Income Tax Act 1961?

Any trust or institution which is registered under section 12AA of Income Tax Act, 1961 can claim the exemption under this section. Income received/derived from property held by charitable trust/societies, and if it is utilised for charitable or religious purposes exemption can be claimed under section 11.

What is Section 13 (1) (C) of the Income Tax Act?

Similarly, as per the provisions of section 13 (1) (c), it is only the income or value of the property misused by the trustee that is liable to be taxed and violation under section 13 (1) (c) will not result in the denial of exemption under section 11 to the total income of the trust. 3.

What is the difference between income and Section 11 of income tax?

However one major difference is that to get exemption under section 11, that income should be applied for charitable/religious purposes. Now let us understand it in detail: Income is defined in Section 2 (24) which includes profits & gains. So here income means balance of income after meeting the expenditure.