Taxation - November 2018

Miss Sakshitha, a resident individual, aged 32 years, furnishes the following particulars relating to the year ended 31-3-2018: (a) Analysis of her bank account in her ledger reveals the under-mentioned data: (i) Winnings from a TV Game show (Net) 70,000 (ii) Gift received from mother's father 80,000 (iii) Gift received from Ramya, her close friend 60,000 (iv) Interest on capital received from Vidyut & Co., a partnership firm in which she is a partner (@15% p.a.) 3,00,000 (v) Rent received…

(a) Following incomes are derived by Mr. Krishna Kumar during the year ended 31-3-2018 : Pension received from the US Government 3,20,000 Agricultural income from lands in Malaysia 2,70,000 Rent received from let out property in Colombo, Sri Lanka 4,20,000 Discuss the taxability of the above items where the assessee is (i) Resident, (ii) Nonresident. (6 Marks) PAPER – 4 : TAXATION 73 (b) Mr. Dhanapal wishes to purchase a residential house costing ` 60 lakhs from Ms. Saipriya. The…

Mrs. Disha Khanna, a resident of India, owns a house property at Bhiwani in Haryana. The Municipal value of the property is ` 7,50,000, Fair Rent of the property is ` 6,30,000 and Standard Rent is ` 7,20,000 per annum. The property was let out for ` 75,000 per month for the period April 2017 to December 2017. Thereafter, the tenant vacated the property and Mrs. Disha Khanna used the house for self-occupation. Rent for the months of November and…

(a) Mr. Subramani sold a house plot to Mrs. Vimala for ` 45 lakhs on 12-5-2017. The valuation determined by the stamp valuation authority was ` 53 lakhs. Discuss the tax consequences of above, in the hands of each one of them, viz, Mr. Subramani & Mrs. Vimala. Mrs. Vimala has sold this plot to Ms. Padmaja on 21-3-2018 for ` 55 lakhs. The valuation as per stamp valuation authority remains the same at ` 53 lakhs. 76 INTERMEDIATE (NEW)…

(a) Mr. Janakaraj, employed as General Manager in Rajus Refractories Pvt. Ltd., furnishes you the under mentioned information for the year ended 31-03-2018 : (i) Basic salary upto 30-11-2017 ` 70,000 p.m. Basic salary from 01-12-2017 ` 80,000 p.m. Note: Salary is due and paid on the last day of every month. (ii) Dearness allowance @ 50% of basic salary (not forming part of salary for retirement benefits). (iii) Bonus equal to one month salary. This was paid in November…

Mrs. Vibha Gupta, a resident individual, is running a SEZ unit, as well as a unit in Domestic Tariff Area (DTA). She furnishes the following details relating to the year ended 31-3-2018, pertaining to these two units DTA Unit ( ` in lakhs) Export turnover Total turnover Net profit SEZ Unit ( ` in lakhs) 100 400 50 1000 1100 220 Compute the deduction available u/s 10AA: (i) When the SEZ unit had been set up on 12-3-2010, and (ii)…

(a) Mr. Thiraj, a registered supplier of service in Bangalore (Karnataka State) has provided the following information for the month of February 2018: Particulars Amount in ` (i) Intra-state taxable supply of service 5,20,000 (ii) Legal fee paid to a Lawyer located within the state 20,000 (iii) (iv) Rent paid to the State Govt. for his office building Received for services towards conduct of exams in Loveall University, Pune (recognized by law), being an inter-state transaction 30,000 16,000 Compute the…