Quick Answer: How Is Corpus Fund Calculated?

What is hardship compensation?

A payment made in recognition of ‘different’ conditions prevailing at the host location.

Locations are assessed for their degree of hardship and the criteria may include isolation, special health risks, extremes of climate and political instability, for example..

Is compensation paid by builder taxable?

A. TDS should be deductible on the amount of interest payable to you by the builder @10%. The amount refunded to you in respect of your deposit would not attract TDS provisions. The amount of compensation not being in the nature of income should not be taxable as the same is not in the nature of an income.

Is GST applicable on corpus fund?

Therefore the applicant is providing partly taxable as well as partly exempted supply of service. … Therefore the amounts collected towards Corpus / Sinking Fund do not form part of consideration towards supply of services at the time of collection and hence is not liable to GST, at the time of collection.

Is corpus fund received on redevelopment taxable?

The corpus received by members from builders could be treated as a capital receipt, received on account of the hardships caused to the them on redevelopment and thus, not taxable as income of the assessee unless specifically provided by the Income Tax Act.

What is Corpus money?

Corpus is defined as the total amount of money that is invested in a particular scheme by all investors. For example, imagine that there are 100 units in an equity fund. Each unit is worth Rs 10. The total corpus of the fund is Rs 1,000.

What is mean by corpus fund?

maintenance fundCorpus fund is also known as maintenance fund. The term “Corpus” literally means main part or organ of the body. It is also known as the capital of the organization. Normally corpus fund or maintenance fund denotes a permanent fund kept for the basic expenditure needed for the survival of the organization.

What is corpus fund in redevelopment?

In general terms, Corpus Fund is defined as a capital fund; an amount kept aside for an organization/entity to operate, exist and maintain itself.

What is meant by Corpus?

1 : the body of a human or animal especially when dead. 2a : the main part or body of a bodily structure or organ the corpus of the uterus. b : the main body or corporeal substance of a thing specifically : the principal of a fund or estate as distinct from income or interest.

How do you use corpus fund?

Normally a corpus fund denotes a permanent fund kept for the basic expenditures needed for the administration and survival of the organization. The corpus fund is generally not allowed to be utilized for the attainment of the purposes, but the interest/dividend accrued on such fund can be utilized or accumulated.

How do you show corpus fund on a balance sheet?

Corpus would appear on the Liabilities side of the Balance Sheet as “General Fund” or “Trust Fund”. Practically, it is a liability of the Trust or Society to itself. On the Assets side, it may be represented by Fixed Assets, Investments, Currency, Bank Balances or Recoverables.

Is corpus donation taxable?

Section 2(24)(iia) of the 1961 Act treated all voluntary contributions (general donation as well as corpus donation) as income. However, Section 11(1)(d) of the IT Act exempted corpus donation from being treated as income. … exempted from taxation under Section 11(1)(d) of the IT Act.

What is Corpus trust?

The “body” of the trust (corpus is latin for “body”), this is the property that is transferred into the trust. Also know as the Trust Res. PROPERTY. trusts, inheritances & estates.