What are the consequences of cancellation of registration?

Ans. The following consequences may arise on the cancellation of the registration of a trust:

a. The exemption under Sections 11 and 12 would not be available;

b. The income will be computed under the normal provisions of the Act;

c. Any donation or aid to an individual will be regarded as his income taxable under Section 56(2)(x) if it exceeds the threshold limit of Rs. 50,000;

d. The approval granted under Section 80G may be cancelled;

e. Levy of accreted tax under Section 115TD.​