Returns and Forms Applicable to Association of Persons (AOP) / Body of Individuals (BOI) / Trust / Artificial Juridical Person (AJP) for AY 2024-25
Disclaimer: The content on this page is only to give an overview / general guidance and is not exhaustive. For complete details and guidelines, please refer Income Tax Act, Rules and Notifications. |
An Association of Persons (AOP) or a Body of Individuals (BOI), whether incorporated is treated as a person u/s 2(31) of the Income Tax Act, 1961. It is important to note that an AOP or BOI shall be deemed to be a person, whether or not, it was formed or established or incorporated with the object of deriving income, profits or gains.
Trust created wholly for charitable or religious purposes are allowed various benefits under the Income Tax Act, inter-alia, exemption u/s 11.
Artificial Juridical Person - If an Assessee does not fall under any of the other categories that are included in the definition of Person then it is regarded as an Artificial Juridical Person. These entities are not natural persons but separate entities as per law.
1. ITR-5 | ||
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This form can be used by a Person being a:
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2. ITR-7 | ||||||
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Applicable for Persons including Companies who are required to furnish return u/s 139(4A) or Section 139(4B) or Section 139(4C) or Section 139(4D)
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Forms Applicable
1. Form 26AS - Annual Information Statement | ||||
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Note: Information (Advance tax/SAT, Details of refund, SFT Transaction, TDS u/s 194 IA, 194 IB,194M, TDS defaults) which were available in 26AS , will now be available in AIS mentioned below. |
2. AIS- Annual Information Statement | ||||
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3. Form 3CA-3CD | ||||
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4. Form 3CB-3CD | ||||
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5. Form 10B | ||||
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6. Form 10BB | ||||
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7. Form 10 | ||||
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8. Form 10A | ||||
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9. Form 10BD | ||||
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10. Form 9A | ||||
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11. Form 16A | ||||
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Tax Slabs for AY 2024-25
Tax rates of AOP / BOI / AJP are given below, however they are subject to further conditions described later.
Note: Trusts which are not exempt from taxation as per relevant provisions and require approvals / registrations under the Income Tax Act, are assessed as AOP. |
The Finance Act 2023 has amended the provisions of Section 115BAC w.e.f AY 2024-25 to make new tax regime the default tax regime for the assessee being an Individual, HUF, AOP (not being co-operative societies), BOI or Artificial Juridical Person. However, the eligible taxpayers have the option to opt out of new tax regime and choose to be taxed under old tax regime. The old tax regime refers to the system of income tax calculation and slabs that existed before the introduction of the new tax regime. In the old tax regime, taxpayers have the option to claim various tax deductions and exemptions.
In case of "non-business cases", option to choose the regime can be exercised every year directly in the ITR to be filed on or before the due date specified under section 139(1).
In case of eligible taxpayers having income from business and profession and wants to opt out of new tax regime, the assessee would be required to furnish Form-10-IEA on or before the due date u/s 139(1) for furnishing the return of income. Also, for the purpose of withdrawal of such option i.e. opting out of old tax regime shall also be done by way of furnishing Form No.10-IEA.
However, in case of eligible taxpayers having income from business and profession option to switch to old tax regime and withdraw the option in any subsequent AY is available only once in lifetime.
Tax Rates under the two regimes for AOP (not being co-operative societies), BOI and Artificial Juridical Person are placed below:
Old Tax Regime | New Tax Regime u/s 115BAC | ||
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Income Tax Slab | Income Tax Rate | Income Tax Slab | Income Tax Rate |
Up to ₹ 3,00,000 | Nil | Up to ₹ 3,00,000 | Nil |
₹ 3,00,001 - ₹ 5,00,000 | 5% above ₹ 3,00,000 | ₹ 3,00,001 - ₹ 6,00,000 | 5% above ₹ 3,00,000 |
₹ 5,00,001 - ₹ 10,00,000 | ₹ 10,000 + 20% above ₹ 5,00,000 | ₹ 6,00,001 - ₹ 9,00,000 | ₹ 15,000 + 10% above ₹ 6,00,000 |
Above ₹ 10,00,000 | ₹ 1,10,000 + 30% above ₹ 10,00,000 | ₹ 9,00,001 - ₹ 12,00,000 | ₹ 45,000 + 15% above ₹ 9,00,000 |
₹ 12,00,001 - ₹ 15,00,000 | ₹ 90,000 + 20% above ₹ 12,00,000 | ||
Above ₹ 15,00,000 | ₹ 1,50,000 + 30% above ₹ 15,00,000 |
Tax liability of AOP / BOI depends on whether or not share of members of AOP / BOI are known. Accordingly, further applicable conditions are as follows:
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Surcharge, Marginal Relief and Health and Education cess
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Note: An AOP / BOI who’s adjusted total income exceeds ₹ 20 lakh shall be liable to pay Alternate Minimum Tax (AMT) at 18.5% of adjusted total income (plus surcharge and Health and Education cess as applicable), where the normal tax liability is less than 18.5% of adjusted total income. |
Investments / Payments / Incomes on which I can get Tax Benefit
Tax deductions specified under Chapter VI-A of the Income Tax Act.
Section 80G | ||||||||||||
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Deduction towards Donations made to certain funds, charitable institutions, etc. Donation are eligible for deduction under the below categories:
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Section 80GGA | |||||
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Deduction in respect of certain donations for Scientific Research or Rural Development. Donation are eligible for deduction under the below categories:
Note: No deduction shall be allowed under this section in respect of donation made in cash exceeding ₹ 2000/- or if Gross Total Income includes income from Profit / Gains of Business / Profession. |
Section 80GGC | |||
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Sum contributed to Political Party or Electoral Trust is allowed as deduction (uubject to certain conditions) |
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Section 80IA | |||||
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Undertaking engaged in Developing, Maintaining and Operating any Infrastructure Facility (only Indian Company), industrial parks (any Undertaking), any Power Undertaking, Reconstruction or Revival of Power Generating Plants (Indian Company) shall be entitled to claim deduction (subject to certain conditions) |
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Section 80IAB | |||||
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Deduction in respect of Profits and Gains by an Undertaking or an Enterprise engaged in development of Special Economic Zone (subject to certain conditions) |
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Section 80IB | ||||
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Deduction towards Profits and Gains from specified business. The deduction under this section is available to an Assessee whose Gross Total Income includes any Profits and Gains derived from the business of:
100% / 25% of profit for 5 / 10 / 7 years as per conditions specified for different types of undertakings |
Section 80IBA | |||
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Profit and Gains derived from Developing and Building Housing Projects |
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Section 80IC | |||
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Deduction in respect of certain Undertakings in Himachal Pradesh, Sikkim, Uttaranchal and North-Eastern states (subject to certain conditions) |
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Section 80IE | |||
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Deduction to certain Undertakings set up in North- Eastern states (subject to certain conditions) |
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Section 80JJA | |||
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Deduction in respect of Profits and Gains from Business of Collecting and Processing of Biodegradable Waste (subject to certain conditions) |
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Section 80JJAA | |||
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Deduction in respect of Employment of New Workers / Employees, applicable to Assessee to whom Section 44AB applies (subject to certain conditions) |
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Section 80LA | |||
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Deduction for Income of Offshore Banking Units and International Financial Services Centre (subject to certain conditions) |
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