(i) Income of A.O.P. is calculated head wise. It cannot have any income under the head “Salaries”.
(ii) In case of house property rules given under the head “Income from House Property” are applicable. It cannot have self occupied house.
(iii) Profits & Gains from Business or Profession are to be computed in the same manner as given earlier in this chapter.
(iv) Income under the head “Capital Gains” is to be computed in the same manner as given in the chapter Capital Gains but exemptions u/s 54, 54B and 54F are not allowed.
(v) Income from other sources is to be computed in the same manner as given under the head “Income from other Sources”.
(vi) Set off and carry forward and set off of losses is to be done as per provisions of section 70 to 74 of the Act.
(vii) Deductions u/s 80 can be claimed. The deductions which can be claimed by P.F.A.O.P. are u/s 80 G, u/s 80 GGA, u/s 80 HHB, u/s 80 HHC, u/s 80 HHD, u/s 80 HHE, u/s 80 IA, u/s 80 IB, u/s 80 JJA, and u/s 80 0. Other deductions u/s 80 are not allowed.