In case of AOP whose members include a foreign company, and their shares are determinate, the tax shall be charged:
A. At the rate applicable to individuals
B. At the maximum marginal rate
C. At the rate applicable to the foreign company i.e. 40% + surcharge + health and education cess @ 4%
D. On that portion or portions of income of AOP which is relatable to the share of the member which is a foreign company, the tax shall be charged @ 40% + surcharge if applicable + health and education cess @ 4% and on the balance income at the maximum marginal rate
Answer:D
In case of AOP whose members include a foreign company, and their shares are determinate, the tax shall be charged:
A. At the rate applicable to individuals B. At the maximum marginal rate C. At the rate applicable to the foreign company i.e. 40% + surcharge + health and education cess @ 4% D. On that portion or portions of income of AOP which is relatable to the share of the member which is a foreign company, the tax shall be charged @ 40% + surcharge if applicable + health and education cess @ 4% and on the balance income at the maximum marginal rate