https://www.taxtmi.com/caselaws?id=472216 Breach of the prescribed investment conditions for charitable trusts does not withdraw the Section 11 exemption from the trust's entire income. The proviso to Section 164(2), read with Section 13(1)(d), distinguishes eligibility for exemption from the consequences of a breach and confines the maximum marginal rate to income attributable to the non-conforming investment. Income unconnected with that breach remains eligible for exemption, while only the non-conforming portion is taxed at the maximum marginal rate. en-us Mon, 01 Dec 2025 00:00:00 +0530 Sun, 04 Oct 2026 18:35:10 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=472216 Breach of the prescribed investment conditions for charitable trusts does not withdraw the Section 11 exemption from the trust's entire income. The proviso to Section 164(2), read with Section 13(1)(d), distinguishes eligibility for exemption from the consequences of a breach and confines the maximum marginal rate to income attributable to the non-conforming investment. Income unconnected with that breach remains eligible for exemption, while only the non-conforming portion is taxed at the maximum marginal rate. Case-Laws Income Tax Mon, 01 Dec 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=472216