An HUF received a dividend from an Indian company of ₹8 lakhs and interest on a fixed deposit of ₹2 lakhs in FY 2024-25. Its basic exemption limit is ₹5 lakhs. What is its taxable income?

• A₹5 lakhs only (exemption applies first)
• B₹5 lakhs (dividend exempt under Section 10(34), FD taxable)
• C₹3 lakhs (₹5 lakhs exemption deducted from total ₹10 lakhs)
• D₹10 lakhs (exemption applies to overall income, no component exemption)