A business trust registered under SEBI (Real Estate Investment Trust) Regulations, 2014, has given particulars of its income for the financial year…

A business trust registered under SEBI (Real Estate Investment Trust) Regulations, 2014, has given particulars of its income for the financial year 2024-25 as under: (i) Interest income from Axe Ltd-12 lakhs; (ii) Dividend income from Axe Ltd-6 lakhs, (iii) Short-term capital gains on sale of listed shares (on 01/08/2024) of Indian companies - 5 lakhs. STT was paid both at the time of sale and purchase). Axe Ltd. is a SPV (Special Purpose Vehicle) in which the business trust holds 80% of shareholdings. Axe Ltd. opts to pay tax under section 115BAA. The business trust distributes its entire income to the unit holders in the financial year 2024-25 in the month of March, 2025. The business trust paid an interest of 2 lakhs on money borrowed by it from a foreign company, by way of issue of rupee denominated bonds on 01.06.2024. The bond is listed on a recognized stock exchange located in IFSC. The Interest paid to Foreign Company does not exceed the rate approved by the Govt. of India. Mr. Prakash, a resident shareholder holding 100 units and Mr. S. John (an Australian Citizen) holding 500 units in the business trust. The total number of units subscribed to by all unit holders is 5,000. Mr. S. John, who is a unit holder in the business trust, came to India for the first time on 27th July, 2024. On 10th November, 2024, he left India for China on business trip. He came back to India on 15th February, 2025. He maintains a dwelling place in India from the date of his arrival in India (i.e. 27th July, 2024) till 27th February, 2025 when he left for Iran. Mr. S. John does not have permanent establishment or fixed place for carrying out his business in India. He is liable to tax in Australia in respect of his income of Financial Year 2024-25. Mr. S. John, in addition to income distributed by business trust, earned income from following sources in India during the Financial Year 2024-25: (i) Royalty received from Indian concern: (Mr. S. John has incurred expenditures of 4 lakhs in respect of Royalty. The royalty is as per agreement with an Indian concern and agreement has been approved by the Government of India) (ii) Rent from house property located in India (Property tax in respect of the house property paid - 50,000/- in the FY 2024-25):7,50,000 Mr. S. John has not exercised option for opting out from the default tax regime. From the facts given in the case study, choose correct answer to following Multiple Choice Questions. (MCQ. No. 8 to 12):