Question 1: Define the word salary. Describe in detail different forms of perquisites under the head of Income from salary.
Question 2: Write brief notes (any four):
a) Allowances under Income from salary
b) Deemed to be let out house property
c) Income from other sources - chargeability
d) Capital gain
e) Deduction U/S 80G
f) Expenses disallowed from business income.
Question 3: ABC Ltd. purchased a building for an industrial undertaking on 1-1-2008 for Rs. 4,00,000. Preceding to this the company had taken this building on rent for the last 2 years and was employing it for its industrial activities. There is no other building in the block. This property was compulsorily acquired by the state government on 14-8-2009 and a compensation of Rs. 6,00,000 was given to the company on 21-3-2010. The company purchased the other building for shifting its industrial undertaking for Rs. 3,00,000 on 15-9-2010.
Calculate the capital gain for the A.Y. 2010-11.
Question 4: Mr. Mane has provided the given particulars of his income and savings for the financial year ending on 31-3-2010.
a) Gross salary Rs. 3,03,000
b) Profit from Business Rs. 1,50,000
c) Interest on Govt. securities Rs. 3,800
d) Dividend received from an Indian company Rs. 5,600
e) Income from House property Rs. 15,000
f) He paid professional Tax Rs. 2,500 and Income Tax Rs. 32,000
g) He paid Rs. 10,200 for Life Insurance Premium, deposited in Public provident fund Rs. 10,000, invested Rs. 5,000 in National Saving Certificates and made fixed deposit for 5 years in State Bank Rs. 50,000.
Calculate the Income Tax liability of Mr. Mane for A.Y. 2010-11.