' a-J INCOME TAX ACT, 1961 '13 3A

lax payable on the income of a person is termed as Income tax. It is a direct tax, which is an important
source of

revenue to the Government. Income tax is called direct tax because its impact (i.c. initial burden) and
incidence (final burden) falls on the same person. 'I he impact cannot be shifted to any other person.

Twin objectives of levying income tax are: collection of revenue to the state and achieving socialjustice.

Every person whose taxable income for the previous linancinl year exceeds the minimum taxable limit is
liable to pay income tax to the govt. dining the current linuncial year.

Variour definitions under Income Tax Act. I‘MI:

_l_. Assessec: Soc.2 7 : An assessee is any person who is: o liable to pay any tax or any other sum
ol'money under the Indian Income Tax Act ([ig. Interest, penalty) The term includes:

0 Every person in respect of whom any proceedings under this act has been taken for the assessment of
his income or loss sustained by him or income ol'any other person or for the refund due to him.

0 livery person in respect of whom any proceedings under this act has been taken for the assessment of
income or loss sustained by other person or for the refund due to such other person.

0 livery person who is deemed to be an assessee under any provision of this act and includes a guardian
of a minor, a representative ot‘a non-resident assessee (a foreigner), legal representative of the
deceased person.

0 Every person who is deemed to be an assessee in default under any provision of this act.
‘Deemed assessee’ means a person who is liable to pay tax on the income of any other person under the
Indian

LT. Act.

An ‘Assessee in default’ means any person or assessee who fails to pay the tax or fails to comply with the

requirements of the LT. Act in India.

A Person: Sec. 2 31 : Under the Income Tax, 1961, ‘Person’ includes the following:

0 An individual is a natural person who may be a male, female, minor, child or lunatic

0 A Hindu Undivided Family consists of all persons lineally descended from a common ancestor including
their wives and unmarried daughters.

0 A company is an artificial person created by law with perpetual succession, a common seal and shares
carrying limited liability.

A firm as defined by Partnership Act .

0 An association of persons or a body of individuals whether incorporated or not AOP consists of two
more persons joining for a common purpose of earning income and a B01 is union of individuals who
come together by chance

0 A local authority. Eg: Municipality, Municipal Corporation, Panchayats, District Boards

0 Every artificial juridical person. Eg: an idol or deity (physical image of God), a University, college etc.

L Assessment Year AY : Scc.2 9 : It refers to a period of 12 months beginning on the 15‘ of April and
ending on 31St of March of the next year. An assessee is liable to pay tax in the Assessment Year on the
income of the Previous Year.

1L. Previous Year ’ : (Sec.3): It refers to the financial year immediately preceding the relevant Assessment
Year. In case of a newly started business or profession, its first Previous Year may be a period of less than
12 months, which starts from the date of setting up of the new business or profession.

General rule of income tax: As per Income Tax Act the income of the previous year is chargeable to tax
during

the assessment year. '

Exce n tions to the -eneral rule:

The general rule is that, Income tax is charged on the total income of the Previous Year at the rates
prescribed by

the relevant Finance Act for the Assessment Year. It is also called Accounting Year or Income Year.
However,

in the following cases, income earned by an assessee in a P.Y. is taxed in the same P.Y.:

3. Income of a non-resident from shipping business in case of a non-resident shipping company any
income derived from carrying passengers, livestock, mail or goods shipped at a port in India, it will be
taxed at 7.5% of the carriage amount in the year of its earning.
b. Income of an individual leaving the country permanently or without the intention of returning in the
next financial year the total income of such a person is taxable in the same of earning.

0. income from the sale or transfer of an asset with the intention of avoiding tax

d. Income of profit of a discontinued business -the income of the period upto the date of such
discontinuance may be taxed in the same year ofeaming.

e. income of an AOP or 801 or artificial juridical person formed for a particular purpose or period -the
total income of such a person upto the date of dissolution of the AOP or BO] shall be taxed in the same
year.

5.

Income: Sec. 2 24 : Income refers to any monetary receipt which is derived from definite sources with
some sort of regularity.

The term income includes the following:

20165-74 19:16

l?‘

L°°

42’ E 9L:
Profits and gains 1 Dividend _ . ‘ _ . _ ‘ Voluntary contributions received by a charitable or religious trust
or scuentific research assoc1ation or games

and sports association/institution or any university or educational institution or hospital Value of any
perquisite or profits in lieu of salary

Any special allowance or benefit granted to meet the expenses while performing the duties

Any allowance granted to meet personal expenses at the office or to compensate the increased cost of
living The value of any benefit or perquisite obtained by any representative assessee

Any sum chargeable to income tax under business or profession

Any capital gains

The profits and gains of any business of insurance by any insurance co. or co-operative society

Any winnings from lotteries, crossword puzzles, races including horse races, card games, gambling or
betting Any sum received from the employees as contribution to PF or superannuation fund

Any sum received under a keyman insurance policy including bonus

Any sum which exceeds Rs.50,000 received without consideration

The profits and gains of banking carried 0 by a co-operative society with its members. Characteristics of
Income:
1. Definite source of income Income should be earned from a definite source of income. Theses definite
sources of income are:

a. Salaries b. Income from House Property 0. Profits and Gains of Business or Profession

(1. Capital Gains e. Income from other sources

2. Income may be earned legally or illegally -No distinction is made between legal and illegal income.
However, expenditure incurred to earn illegal income is not deductible.

3. Income may be received periodically or in lump sum -provided it is revenue in nature

4. Income should be from external source internal revenue is not treated as income. 5. Receipts may be
in the form of money or in kind

6. Income may be Temporary or Permanent

7. Reimbursement of expenses is not an income

8. Receipt on account of Dharmada, Gaushala is not an income

9. Pin money received by wife is not an income

10. Income may be Plus or minus Minus income means loss which is also included in income. 1 1. Income
arises on actual basis or accrual basis. Both are taxable.
12. Personal gift received from any relative is not taxable. However, git? received from others is taxable if
the aggregated amount of the gift exceeds Rs.50,000.

13. Same income cannot be taxed twice. 14. Income should be real and not fictional.

15. Mere production of a commodity does not amount to income.

Gross Total Income: It refers to the aggregate income of all heads, computed in accordance with the
provisions of the Income tax Act, before making any deduction under sections 80C to 80U.

Total Income: [2(45)]: Total Income refers to the income obtained after making general deductions under
sections 80C to 80U from the Gross total income.

Aricultural Income: Sec.2 1A : According to Income Tax Act, 1961 Agricultural Income has the following
features:

a. Any rent or revenue derived from land which is situated in India and is used for agricultural purposes
-It means basic agricultural operations such as tilling, watering, sowing, planting etc. should be carried
out on the land.

b. Any income derived from the performance of any process by the cultivator or receiver of rent in kind,
on the agricultural produce, in order to render the produce fit to be taken to the market Eg. curing of
coffee, tobacco, ginning of cotton etc.

c.

Any income derived from the sale of the agricultural produce by the cultivator of land or by the receiver
of rent in kind.
(1. Any income from a farm house/agricultural house property if the following conditions are satisfied: 0
The building is owned and occupied by the cultivator of the land or by the receiver of rent from such
land. The building is situated on or in the immediate vicinity of the agricultural land.

The building is used, by reason of his connection with the land, as a dwelling house or as a storehouse or
outhouse etc.

0019-7-1 'lO")f'

2)

3 0 The land/building is situated in a non-urban area i.e. an area which has a population less than 10,000
or any area which is situated at a distance of 8 kms. from the local limit of a municipality or corporation
or cantonment board. If the land is situated in the urban area, it should be subject to land revenue or a
local rate levied by the govt. authorities. Agricultural income is totally exempt from income tax. Exam
ales of Au ricultural Income; Income arising from the sale of replanted trees; 900’ 70’ Fees collected from
the owners of cattle”? for allowing them to g aze. Profit on sale of standing crop after harvest by the
cultivator or the tenant of the land. Rent of agricultural land received from sub-tenants. Compensation
received from an insurance company for damage caused by hail storm to the tea leaves. Income from
ggowing Howers and creepersNL ‘ Share of profit of a partner meg‘ag‘w in agricultural operations 0
Interest on capital received by a partner from the firm engaged in agricultural operations. Part] A.
ricultural Income: In certain cases, the income derived by assessee from the sale of agricultural produce
may be treated as partly agricultural income and partly as non-agricultural income. In such a case, only a
part of the income representing the market value of the agricultural produce which is used as raw
material, will be treated as agricultural income and the balance of the income is treated as non-
agricultural income of the grower. The market value of the agricultural produce should be calculated on
the basis of its average market price during the year if its produce is ordinarily sold in the market If the
agricultural produce is one which is not ordinarily sold in the market, its market value is taken as an
amount equal to the aggregate of the following: 0 Cost of cultivation 0 Land revenue or rent paid in
respect of the land by the grower o Reasonable amount of profit (in the opinion of the assessing officer)
Examples:
0

v Profits of sugar factories who produce sugar from cane grown on their own farms average market price
of cane shall be taken as expenditure and the balance shall be treated as business income In the case of
tea growers (who own the tea plantations), any income derived by them from the sale of tea is treated
as 60% agricultural income and 40% as non-agricultural income (business income) I In the case of income
derived from the sale of Centrifuged latex from the rubber grown, 65% of the income is treated as
agricultural income and 35% is taken as business income. '2' In case of income from sale of coffee grown
and cured 75% treated as agricultural and 25% treated as business income 03' In case of sale of
processed coffee 60° 0 is agricultural and 40% is business income. Non-a ricultural incomes from land: 0
Income from markets \ 8 Income from stone quarries ’3" Royalty income from mining Income from land
used for storing agricultural produce Income from supply of water for irrigation purpose Income from
self-grown grass, forest trees or bamboos Income from fisheries, dairy farm, poultry farming Income
from butter and cheese making Income from interest on arrears of rent of agricultural land Income from
sale of earth for brick making Salary received by a manager of an agricultural farm Dividend from a
company engaged in agriculture 0 Income of the buyer of a ripe crop Treatment of a. ricultural income
for income tax aur ose:

Agricultural income is exempt from tax under the Indian LT. Act. However, in case of non-corporate
assessees like individuals, HUF etc., their agricultural income should be taken into account for the
purpose of determining the income tax payable on their non-agricultural income. It implies that if an
assessee has both agricultural and non-agricultural income and his net agricultural income exceeds
Rs.5,000 and non-agricultural income exceeds the minimum taxable limit, the agricultural income should
be taken into account for the purpose of calculating the income tax payable by him on his non-
agricultural income for the year. In such a case, the following procedure should be followed for
calculating the tax on the non-agricultural income of the assessee:

O 0..

First of all non-agricultural income should be added to net agricultural income and tax should 1
calculated on the aggregate amount. \ Next tax on non-agricultural income upto minimum taxable limit
(i.e. Rs.2,00,000 for individuals below

60 years or Rs.2,50,000 for senior citizens or Rs.5,00,000 for super senior citizens) should be taken as \
NlL. f. Thereafter, the tax on agricultural income is taken as NlL. g. Ultimately, tax should be calculated on
the balance of non-agricultural Income at the rates prescribed.

RESIDENTIAL STATUS OF AN ASSESSEE

The taxability of the income of any assessee depends on the residential status of a person in India or
outside.

It is different from nationality or citizenship Residential status of individuals: For the purpose of Income
tax, an individual 15 divided into 3 categories;

I.

Ordinarily Resident

\ 11. Not Ordinarily Resident ‘ p

\t

[11. Nonresident (NR1) For the purpose of determining the residential status of an individual, following
rules under I. T. Act should be

apphed: Basic Conditions: 1. The individual should have been in India for a period of at least 182 days in
the relevant previous year.

OR 2. The individual has been In India for an aggregate period of at least 365 days during the 4 years
preceding the
relevant previous year and he should also have been present in India for an aggregate period of at least
60 days In

the relevant previous year. Exce n tions to 60 da s of sta in India mentioned in 2: In the following cases,
the 2"d part of the 2"" basic condition should be modified to say that the individual should be in India in
the relevant P.Y. for an aggregate period of at least

182 days instead of 60 days: a. In case of an Indian citizen who leaves India in the P.Y. for the purpose of
employment or self-employment to a

foreign country or as a member of the crew of an Indian ship. b. In case of an Indian citizen or foreign
national of Indian origin who,‘having been outside India, comes on a visit to

India in any PY. RESIDENT: An individUal is said to be RESIDENT in India in a PY if'he satisfies any ONE of
the basic conditions.

NON-RESIDENT: An Individual becomes a NON-RESIDENT in india in any PY if he does not satisfy any of
the basic conditions in that year. The additional conditions are immaterial in this case. ORDINARILY
RESIDENT: An individual is said to be ORDINARILY RESIDENT in India in a PY if he satisfies

both the additional conditions viz: O The individual has been a resident in India, in at least TWO years
out of Ten Previous years immediately

preceding the relevant PY i.e. he satisfies any of the Basic Conditions in at least 2 years out of the 10
years immediately preceding the FY.

AND
O The individual has been in India for at least 730 days during the 7 years immediately preceding the
relevant PY. Note: If a person is resident in India in a previous year relevant to an assessment year in
respect of any source of income, he shall be deemed to be resident in India in the previous year relevant
to the assessment year in respect of each of his other sources of income. T hus, dijferent residential
status for diferent sources of income for the same

assessment year is not possible. [Sec. 6(5)]

Problems: 1. Mr. athew a Foreign National came to India for the first time on the 15th of June 2009.
During the finanqial

" years 009-10, 2010-11, 2011-12, 2012-13, 2013-14, 2014-15, 2015-16 and 2016-17 he stayed in India
fer 190 days, 120 days, 45 days, 182 days, 110 days, 50 days, 105 days and 55 days respectively.
Determine his

residential status for the previous years 2015-16 and 2016-17. What difference does it make if Mr.
Mathew was a foreign national of Indian origin?

2. Mr. Michael a foreigner came to India for the first time on 15‘ April 2008. He stayed here continuously
for 3 years

and went to France on 1St April 201 1. He returned to India on 15' January 2012 and remained here until
1“ July 2013, when he left for England. He again came to India on lSt November 2013 on official work
and remained here till 31St July 2014 when he went back to England. He came to India on a service
assignment on 25'h January 2017.

What Is his residential status for the FY 2016-17? ’

3. Mr. Ajay an individua1,a resident of Amritsar left India for England for higher studies on 1" August
2012.
Thereafter he came to India on vacation from 15‘ October 2013 to 15‘h January 2014, from 15'
November 2014 to 31“ March 2015, from 13' December 2015 to 28'h February 2016. He was in India
again on a visit h'om 15111

November 2016 to 31St January 2017. Find out his residential status in lndi 2 0 'l 8__7 ‘l 'I 9: 2 5

.{anjeetha left India for the first time on 5'll March 2013 after having lived here for 22 years. She retume
India on 10m September 2016. Determine her residential status for the FY 2016-17. ;. Amar, an Indian
citizen was in India upto 30-5-2013 when he went to U.K. for one year. After returning, he F"in India upto
16-8-2015 when he got an employment in a British firm at Singapore and left India. He came to India on
vacation for two months on 5'h December 2016, stayed here upto 5"I F ebruary 2017 and then return
"Singapore. Find out his residential status for the FY 2015-16 and 2016-17. I Shree Amitabh Bacchan
went to America on 1St April 2016 for a film shooting. Due to ill health, he had to I\ back there after
shooting. He came back to India on 25m September 2016. He had to go again on 8th Decembl 2016 and
returned to India on 15'h February, 2017. Determine his residential status for the previous year 2016 w
Incidence of Tax Com nutation of Total Income) .An individual is liable to pay tax to the Indian Govt.
depending on his residential status in India and O based on place and time of accrual or receipt of
income. N 9 A Resident is taxable in respect of both Indian Income and Foreign Income

0 A Not-ordinarily Resident is taxable in respect of Indian Income and Income earned from a foreign
business controlled from India

9 A non-resident is taxable only in respect of Indian Income Indian Income: It includes the following:

0 Income received or earned (accrued)in India

0 Income deemed to be received or deemed to be earned (accrued) in India Foreign Income: It includes
the income which is earned and received outside India. Incomes deemed to be received: They are as
follows:

a. Transferred balance of unrecognized provident fund contribution of the employer and interest on such
contribution
b. Final Dividend Incomes deemed to be earned in India: They are as follows: a. Salary paid by Indian
govt. to an Indian citizen anywhere in the world for rendering services b. Any interest (dividend) paid by
an Indian company, received anywhere in the world 0. Income by way of royalty/fees for technical
services paid by the Indian Govt. to any person anywhere in the

world. However, royalty paid by a non-govt. company to any person can be income deemed to be earned
only if the business/profession is situated in India or is carried on in India

d. Payment of interest on any money borrowed by the Indian govt. from any person situated anywhere
in the wor‘rd. However, if money is borrowed by a non-govt. company on the loan borrowed from any
person situated anywhere

is is used for a business/profession carried on in India then such interest is taken as the income deemed
to be earned in India

Table showin' the incidence of tax

SI. Not Non-resident No Particulars of Income Resident Ordinarily N Resident _ _i 1 Income received in
India wherever earned Taxable Taxable Taxable ‘ 2‘ Income deemed to be received in India x wherever
earned Taxable Taxable Taxable 3. Income earned in India, wherever received Taxable Taxable Taxable 1 i
4 Income deemed to be earned in India wherever ‘ M received Taxable Taxable Taxable 51 Income from
agriculture in India Not Taxable Not Taxable 1 Not Taxabje 6. Dividends from Indian companies or Mutual
W W m _ Funds like UTI Not Taxable Not Taxable Not Taxable~ .AL Income earned and received outside
India Taxable h Not Taxable ‘_:Not'1“a§able 3 .7 Income earned and received outside India, ~ ""F from a
business, profession controlled from Taxable Taxable Not Taxable L India or set u 9 India _ #1 __ A 9‘
Income earned outside India which is remitted Not NOt t to India _ Ta§able Taxable T475391?

10. Past untaxEd foreign income brought into India

durin ; the current PY w_ H _ Not Taxable“ Not Taxable __Not TaxabIQ .1 ' Gifts received from relatives _~
_._ _ Not Taxable Not Taxable h Nothaxable ‘ 2'. ‘ Gifts received from others above Rs.50,000 in M" “
'"“"'“ ”‘0“ """ ”" 'r

. \ iulndia » ~;,-:. _:::_~ “r:?* 7:,::::_ =‘“-~,~ Taxable_ Téxable ~ Taxable * 1%ijLi I?CEQ’ESQVO £3139“
above 35:34)}? « ‘

1:7~ uv-~---'+«v5N

J; 1

\33

and c) Non-resident

mm the following infomation compute the total income of Mr. Bhaskar for the FY 2016-17 if he is a)
ReSide‘tt 471i: Not Ordinarily Resident

7rE--r'=‘m'.‘b9 9-9 379°

--I u

m. n. 0. p.

q. Past untaxed foreign income brought into India during the PY Rs.20,000 ' i i? 2.
Profit from business in Brazil received in India Rs.12,000 ’3' ’4 Income form House Property in Sri Lanka
deposited in an Indian Bank ?ere Rs.8,000 r ./ Income from agriculture in Bangaladesh remitted to india
Rs.l2,000 ‘

Profit from business in England Rs.25,000; this business is contr lled from Delhi ‘ u 1! Income accrued in
India but received in England Rs.15,000 ’S“

Profit from Business in Kanpur received in Mumbai Rs.l6,000 T .T Income from agriculture in Nepal RSJ
8,000 i '

. ‘1 Income from business in USA (75% received in India) Rs.30,000 “ ‘ vi 4, Profit on sale of a capital asset
in Canada (50% remitted t6 India) Rs.18,000 f /

x { Salary for services rendered at the Indian Embassy in UK received there from Government of India
Rs.20,00

Remuneration received from an )ndian company for service rendered in Singapore credited to his bank
account in Singapore Rs.20,000 ‘fl

Salary from an Indian employer for services rendered in South Africa Rs.15,000 (directly deposited by the
Indian employer in his bank account in India)?! '1

Dividend received from an Indian company in London Rs.9,000 WL‘M‘ Interest on POSB a/c Rs.3,000 NrA
‘ m. w»

Dividend from French company received in London Rs.6,000 t T‘

lb a v” w Income from business in Sri Lanka but controlled from India, rem'ged to India Rs.15
000 '

Following are the particulars of Income of Mr. Akshay for the FY 2016-17. Compute the GTI if he is
Resident, Not-ordinarily Resident and Non-resident

xe-"r-rao re.“ 9-9 579’

--I n

.3

$52915

Salary accrued and received in India Rs.20,000 '7 I

Served for 3 months in the Indian Embassy in the US. and salary received there Rs.30,000T,r Profit from
business in New York Rs.25,000

Dividend declared in Perth but received in India Rs.10,000

Dividend received in Germany from an Indian Co. Rs.15,000 (i‘x’t‘ttl, 1‘ ” Income from business in Sri
Lanka business controlled from London Rs.10,000 I Interest on debentures of a company in France
received in India Rs.8,000 I '

Profit from business in Delhi, the business is controlled from Nepal, profit received there Rs.18,000 T T
Interest on POSB a/c Rs.5,000
An income from business in New York controlled from Delhi Rs.30,000 f t i i

Royalty received in Germany from Mr. Kailash a resident in India for technical services provided for a
business carried on in Germany Rs.20,000 t 3

Interest received from Mr. Philip a non-resident on the loan provided to him for a business carried on in
India Rs.20,000 3:3:

Interest received in London from Mr.‘ Nickson a non-resident on the loan provided to him for a business
carried on in Sri Lanka Rs.15,000 F: I_

Fees from an Indian company carrying on business at London for technical services carried out at London
having been directly deposited by the company in his bank account in India Rs.25,000 ,1. 3.

Fees for technical services received in New York from the Indian govt, the technical service is provided
for a govt. project in Iran Rs.25,000 '1 J,

Income from business in Mumbai the business being controlled from London Rs.1 0,0001 I Interest on
savings bank deposits in SBI Rs.2,000 F

/ 7 Z GiR received from a friend Rs.45,000 t 95wa pr 50

Proht from sale of machinery in Bangalore. But received in Bangladesh Rs.30,000 1’1:
allowing are the particulars of Income of Mr. Arora for the PY ended 31-3-2017:

a.

b.

c. d.

rr‘r-r'p‘ <20

Royalty received from govt. of India Rs 25,000

Income from busingss m Iran Rs. 25, 000 of which Rs. 15, 000 was received In India This business Is
controlled in India

Pension fromQ the former employer In India received In Dubai Rs. 24 ,000 j E

Interest received In Iran from Mr. Kumar a non-resident on a loan provided to him to run a business in
India Rs. 12,000 ' \‘I

Royalty received from a company in India/ for technical know how provided to its business In Sri Lanka,
the income is received In Sri Lanka Rs. 50,000 .LJ»

Rs. 75 ,000 fees for technical services received from a company in Dhaka for rendering technical service
to its business carried on in India 41,
Royalty received from Sri Patel a resident In India for technical services provided to his business carried
on outside India Rs. 25, 000 Va

Profit from business In Kuwait, 60% brought to India Rs. 30, 000 “F 1-

Income from business In Jaipur, received In Nepal, this business 1S controlled from Nepal Rs.15,000 5, ,1.
Gift received from uncle Rs. 80, 000 Humri

Past untaxed foreign Income brought into India Rs. 20 ,000 Piaf

Gift received from the friend on the occasion of marriage in India Rs.60,000 i036 C‘ Compute the GTI if
he is Resident, Not-ordinarily Resident and Non-resident.

4. Mr. Anand furnishes the following particulars of his Income earned during the FY 201617. Compute
the GTI if he is Resiqggit,Not-ordinari1l§) Resident and Nonresident.

WE-“r-s" (go 76.09-ng

?B"

.0

~91:

Interest on German Development Bonds (one~third received In India) Rs. 51 ,/000 /‘3 Income from
agriculture In Bangladesh remitted to India Rs 30,000 57.:
Income from property in Canada received In USA Rs.1,10,000 (=3 0 0 0 65 00 C” 2 5 O 0 U

Income from business In Kuwait, business controlled iiom Mumbai (Rs. 25 ,000 received In India) Rs. 65 ,
000 Gift received from the sister Rs. 90, 000 F; gIJi/NZ

Dividend from an Indian Company received In England and spent there Rs. 10,000 1’? 63¢" (31

Royalty received in Singapore from Mr. Daugl, a resident in India for technical services previded for a
business carried on in Singapore Rs.28,000 F 1

Profit from business in Chennai, business is controlled for Singapore Rs.1,25,000Tj’ Profit on sale of a
building in Nepal (40% is received in India) Rs.1,20,000 l7 0/ 0 0 0 Income from agriculture in Punjab
received in Delhi Rs.30,000 52’9” , \

Profit from business in Indonesia the business is controlled from Delhi (60° 0 of the profIt is deposited in
the foreign branch of an Indian bank there and 40° 0 is remitted to India) Rs.40,000 i!” "O C 62 CO C "

Dividend from a foreign company received in England and spent for his childrens’ education there
Rs.30,000 F' 1: His maternal uncle sent a bank draft from France as a gift to him on his marriage
Rs.20,000E2<&71

Interest received from Mr. Dhayal a non-resident on the loan provided to him for a business in India Rs.
28, 000 1’7

Giii received from a friend Rs. 28, 000 In India be”? ‘1

Gift received from a business Associate Rs.42,000 In India 1‘ WW Gift received in the form of car
Rs.5,00,000 from his friend N'T'
40¢. 4407

ft} IWjIJL UQCmLI/Qd