Attempt all the questions
Question1) How is residence of an assessees determined? Describe tax liability on the basis of residence.
Question2) Shri A.K Rana is the employee in a company in Mumbai. He received in previous year.
Basic Salary: Rs. 5000 per month
Dearness Allowance (under termed of employment): Rs. 500 per month
House Rent Allowance (Rent Paid Rs. 1500 Per month) :Rs 1000 per month
He retired on 1st January, 2011 after 20 years of service. He was paid Rs. 6000 gratuity and Rs. 50,000 of unrecognized provident fund. He was given pension of Rs. 800 per months. He was not covered under Payment of Gratuity Act. Employer and employee’s contribution is equal. Salary and pension become payable on last day of each month. For the assessment year 2011-12. Calculate Mr.A.K. Rana’s taxable salary.
Question3) What do you mean by annual value? Describe deductions allowed from annual value?
Question4) Calculate 'Income from other sources’ of Dr. Ashish Agrawal for assessment year 2011-12 from the following particulars of previous year 2010-11.
(i) Found Rs. 10,000 lying on road
(ii) Income From card games Rs. 2000
(iii) Income From Royalty Rs. 6000
(iv) Remuneration received Rs. 4000 for being the examiner.
(v) Remuneration received Rs. 1000 for articles written for magazines.
(vi) Income from agricultural law in Kathmandu (Nepal) Rs. 11000
(vii) Income from fisheries Rs. 3000
(viii) Amount rent of law received Rs. 4000
(ix) Interest received on bank deposit Rs. 1500
(x) Dividend received Rs. 3000 on shares of Indian company
(xi) Winnings from lottery Rs. 2000
(xii) Winnings from horse race Rs. 1500
Question5) Write brief notes on the following:
(a) Exempted Incomes
(b) Pequisites
(c) Exempted Capital Games
(d) Deduction of interest on loan taken for higher education (80E)