AOP/BOI taxed at MMR when:
AAOP claims deductions (per relevant Section)
BForeign member exists
CIncome > Rs. 10 lakhs
DShare of members indeterminate or unknown
Answer & Solution
Correct answer: D. Share of members indeterminate or unknown
1. Section 167B: if share of members indeterminate/unknown, AOP/BOI total income taxed at MMR.
2. If any member's income (with AOP share) > basic exemption, that part taxed at MMR.
3. Otherwise, AOP taxed at slab rates and members' shares exempt.
_Source: ICAI BoS CA Final Paper 7, Ch 9 "Assessment of Various Entities"_
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