Asha Trust is a charitable trust set up on 1st April 2010 with the object of providing relief to the poor. Later on, in April 2012, it changed its…

Asha Trust is a charitable trust set up on 1st April 2010 with the object of providing relief to the poor. Later on, in April 2012, it changed its object to medical relief. It applied for registration on the basis of its new object, i.e., medical relief, on 1st Sep. 2012 and was granted registration under Section 12AA on 1st Feb. 2013. Before Asha Trust applied for registration on the basis of its new object, the trust was not allowed any benefit under Section 11 and 12 or under relevant clauses of Section 10(23C) of the Act. On 1st April 2025, Asha Trust merged with Upkar Trust. Upkar Trust is not eligible for registration under Section 12AB or approval under Section 10(23C). All the assets and liabilities of the Asha Trust became the assets and liabilities of Upkar Trust. The break-up of assets and liabilities of Asha Trust transferred to Upkar Trust is given below: (i) Land Location Date of purchase Stamp Duty Value on 1st April 2025 Value which the land would fetch, if sold in the open market on 1st April, 2025 as per report of registered valuer Book Value on 1st April 2025 ₹ ₹ ₹ Noida 1 st Sept. 2010 75 lakhs 78 lakhs 70 lakhs Gurugram 1 st Sept.2013 120 lakhs 140 lakhs 130 lakhs (ii) Shares Type of shares Date of Purchase Face value of each share Purchase Price of each share Price at which each share is quoted on BSE as on 1st April 2025 Open market value on 1st April 2025 ₹ ₹ Highest Price Lowest Price ₹ 10000 Quoted equity shares of A Ltd. 1 st May 2014 100 210 420 420 NA 4000 Preference Shares of B Ltd. 1 st Sept. 2015 100 100 - - *180 *as per report of Merchant Banker (iii) Trust Fund and Liabilities Book value of trust fund and liabilities on 1st April 2025 = 150 lakhs which includes - (a) Corpus fund 15 lakhs. (b) Provision for taxation 5 lakhs; and (c) Reserves and Surplus 20 lakhs. From the facts given above, choose the most appropriate answer to the following Multiple-Choice Questions (MCQs No 9 to 12):