Income Tax – Charitable Trust: Section 11 Exemption

Ek bahut tricky sawal the 2022 CUET PG Law ka, yaar. Question tha: "Rahul ke paas ek charitable trust hai, jiski income 10 lakh rupee tak hai. Trust ka karya hai cancer patients ki madad karna. Lekin, trust ne ek commercial activity bhi start ki hai, jo unki annual income mein lagbhag 50% ka hissa hai. Kya unki income tax mein Section 11 ka exemption milega? Kyaa nahi?"

Right approach yeh hai: Abhumikta ka concept samjhna hoga. Section 11 ke anusar, charitable trust ki income par tax na lagna chahiye. Lekin, yah condition hai ki trust ki income should only come from "eligible sources" (jaise ki donations, interests on deposits, etc.).