Tax on accreted income: specified charitable entities face additional tax at maximum marginal rate upon conversion, merger, or improper dissolution. Section 115TD charges an additional tax at the maximum marginal rate on the accreted income of specified persons when they convert to a non eligible form, ... Summary
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Tax on accreted income: specified charitable entities face additional tax at maximum marginal rate upon conversion, merger, or improper dissolution.
Section 115TD charges an additional tax at the maximum marginal rate on the accreted income of specified persons when they convert to a non eligible form, merge with a non similar registered entity, or fail to transfer assets on dissolution; accreted income equals aggregate fair market value of assets minus liabilities on the specified date, with specified exclusions, and the tax is final, payable within prescribed timeframes by the principal officer and the specified person, with no further credits or deductions allowed.
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