Employee Welfare Trust Not Liable to Highest Surcharge Rate: ITAT Mumbai

Deloitte Employees Welfare Trust Vs ITO (ITAT Mumbai) ITAT Mumbai: Employee Welfare Trust Taxable at Normal AOP Rates—MMR & 37% Surcharge Deleted The Mumbai ITAT (SMC Bench) allowed the appeal of Deloitte Employees Welfare Trust for AY 2022-23 and set aside the levy of tax at Maximum Marginal Rate (MMR) with 37% surcharge made through CPC intimation under section 143(1). The Tribunal held that: The trust is created bona fide for the exclusive benefit of employees, and trustees receive income as representative assessees for employees’ welfare. Such trusts fall within clause (iv) of ...