1(1) Notwithstanding anything contained in any other provisions of this Act, any income distributed by a business trust to its unit holders shall be deemed to be of the same nature and in the same proportion in the hands of the unit holder as it had been received by, or accrued to, the business trust.
(2) Subject to the provisions of section 111A and section 112, the total income of a business trust shall be charged to tax at the maximum marginal rate.
(3) If in any previous year, the distributed income or any part thereof, received by a unit holder from the business trust is of the nature as referred to 2 in sub-clause (a) of clause (23FC) 3 or clause (23FCA) of section 10, then, such distributed income or part thereof shall be deemed to be income of such unit holder and shall be charged to tax as income of the previous year.
(4) Any person responsible for making payment of the income distributed on behalf of a business trust to a unit holder shall furnish a statement to the unit holder and the prescribed authority, within such time and in such form and manner as may be prescribed, giving the details of the nature of the income paid during the previous year and such other details as may be prescribed.
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1. Ins. by Act 25 of 2014, s. 44 (w.e.f. 1-4-2015).
2. Subs. by Act 28 of 2016, s. 63, for "in clause (23FC)" (w.e.f. 1-4-2017).
3. Ins. by Act 20 of 2015, s. 32 (w.e.f. 1-4-2016).
Section 115T Unit trust of India or mutual fund to be an assessee in default
Section 115TA Tax on distributed income to investors
Section 115TB Interest payable for non-payment of tax
Section 115TC Securitisation trust to be assessee in default
Section 115TCA Tax on income from securitization trusts
Section 115TD Tax on accreted income
Section 115TE Interest payable for non-payment of tax by trust or institution
Section 115TF When trust or institution is deemed to be assessee in default
Section 115U Tax on income in certain cases
Section 115UA Tax on income of unit holder and business trust
Section 115UB Tax on income of investment fund and its unit holders