S-3/ET/BC3.

3/19

TDP (General) 3rd Semester Exam., 2019

ELEMENTS OF TAXATION

B. COM.

(General)
[DSC-VI]
PAPER BC 3.3
Full Marks 80 Time: 3 Hours
The figures in the margin indicate full marks.
Candidates are required to give their answers
in their own words as far as practicable.
Group A

1. Answer the following questions 1x20-20

Income Tax Act comes into existence on

(a) 15th September, 1961

(b) 13th September, 1961

(c) 25th September, 1961

(d) 15th October, 1961

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 (2)
or ariseutside India by
outside India
accrue
which
Incomes
ndia are taxable i
into Indi
received
directly
are
case o f -

(a) resident only

resident and not ordinarilv

b) both ordinarily
resident

(c) non-resident

(d) all the assesses

How many heads of income are there to

compute gross total income of an assessee ?

(a) Three

b) Four

) Five

(d) Six
 (3)
Gv) Total Income of an assesee is

(a) Gross total income

b) Computed by deducting from the gross total

income, all deductions under section 80C to
80U

Computed by deducting from the gross total

(c)
all deductions permissible under
income,
VIA of the Income Tax Act.
chapter

(d) Both (b) and (c)

income includes
(v) The agricultural

Income from
sale of crop
(a)
preparation
of crop
Income from
(b)
from nursery
Income
(c)
above
All of the
(d)
 4)
of 12 months
The period commencing
on the
(vi) day of April every year and ending on 3

March is called as
(a) Previous year

(b) AssesaIment year

(c) Accounting year

(d) Financial year

(vi Which of the following is not taxable under te

head Salary?

(a) remuneration paid to the lecturer of a

college for setting a question paper.

b) salary received by a member of pariament

(c) both (a) and (b)

(d) free accommodation given to an
employee
Vin) Interest on loan for
before 1st April,
self-occupied house taken
1999, will be allowed for
deduction upto-
(a) 30,000
(b)15,000
C) 10,000
(d) 50,000
 5)
K) Deduction allowed from annual value is
a) interest on loan for construction

(b) interest on loan for repair

(c)statutory deduction

(d) all of the above

(x) Encashment of leave salary at the time of
retirement is fully exempted in the case of-

(a) Central Government Employee

(b) State Government Employee

(c) Both Central and State Government

Employee
(d) Government Employee and Employee of
Local Auhority
is a tax fnee perquisite-
(xi) Leave travel concession
block of 4 years
(a) for one journey in a

block of 4 years
(b) for two journeys in a

() for one journey per year

above cases
(d) for all of the
 (6)
tenarnt msubte
from subtena
Rent received by original
(Ni) the head-
is taxable umder

sources
Income from
other
(a)
Income from House Property
(b)

(c) Income from Capital Gain

(d) None of the above

ximi) The depreciation is allowable expenditure subject

to

(a) the asset must be tangible asset

b) the asset is used for the business purpose

(c) the assessee is the owner of the asset

(d) all of the above

(xiv) Income chargeable under the head 'Profits and

Gains from Business or Profession'
is covered
under-

(a) Section 23
b) Section 28
() Section 25
(d) Section 24
 7

(xv) The revenue Expenditure on research incured by

the assessee himself is allowed for deduction
only
if
(a) Research is related to business only
(b) Research is related to personal purpose

(c) Research is related to HUI

(d) None of the above

xvi) Which of the following is not a capital asset?

(a) Goodwill of a business

(b) Jewellery
(c) Stock in trade

(d) Agricultural land in Delhi

term capital gain, an
(xvii) For capital gain being long
should retain the asset for
a period
assessee

of-

(a) 24 months

(b) 36 months

months
than 36
(c) more

(d) 12 months
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 8
(vii) Wiming from lotferies crossword puzzles, hor
races and other 1aces card game etc. are casual
income and hence

(a) fully exenmpt

(b) exempt upto R 5,000

(c) fully taxable

(d) exempt upto F 10,000

loss can be
(XZX) Unabsorbed speculation business
period of
-

carried forward only for a

(a) 5 assessment year

(b) 6 assessment year

(c) 7 assessment year

(d) 8 assessment year

ox)Who will notify the rate of tax to be levied under

CGST Act?
(a) Central Government suo moto

b) State Government suo moto

(c) GST Council suo moto
(d) Central
Government as per per the
recommendations of the GST council.
 (9
Group B
No. 2 to
Question
are four
questions from question.)
(There
(b) of each
5. Answer either (a)
or
Question No.
3x4-12

Answer the following questions.

Income ? Is it taxable?
2. (a) What is Agricultural 2+1-3

Or
Income' and
between 'Gross Total
b) Distinguish 3
Total Income'.
33
3. (a) Give three examples of tax free perquisites.
Or

(6) What do you mean by Annual value of a

property? Can net annual value be negative ?
2+1-3

4. (a) Mention the conditions for claiming depreciation

allowance as per Section 32. 3

Or
(b) When fair market value may be
considered as
cost of
acquisition of the asset ? 3

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 10)
fulfilled for clai.

S. (a) State the

conditions to be
of medi
of medicg
imin
u/s 80D
in respect
deduction
assessee.
an
insurance premia paid by

"Capital Gains
losses under the
head
b) How can

carried forward and set off as per the

be
Income Tax Act? 3
provisions of the
Group C

(There are four questions from Question No. 6 to

Question No. 9. Answer either (a) or (b) of each question.)

Answer the foilowing questions, 12x4-48

6. (a) What is meant by "Assessee' ?
) "Generally income of an assessee of the
Previous year is taxed in the next
Assessment Year"- What are the
following
exceptions to this rule?
() In what cases
than 12 months?
previous year may be less
5+4+3-12
Or
 11
(b) What is PAN ? Is it
to
compulsory for all persons
apply for allotment of PAN ? State the
specified transactions where quoting of PAN is
made compulsory.
3+3+6-12
7. (a) Compute the income under the head salary of
Rohan for the assessment
year 2018-2019
from the following
Particulars
Basic Salary 12,000 p.m.
) Dearness Allowance 200
p.m. (which
enters the retirement benefit
as per the
terms of employment).

Ci) Bonus 7 4,000 p.a.

iv) Rent-free accommodation in Delhi provided

by X Ltd, the employer, fair rental value
being 7 20,000.
(v) The cost of furniture provided there in is
7 10,000.

(vi) Entertainment allowance 500 p.m.

(vii) His contribution of RPF is at 12%

Vüi) Employer's contribution to RPF is 15,000

p.a.
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 12
balance at 12% Da
is
Interest of RPF
x)
18,000

Insurance Premium paid by Rohan is

x) Life
12,000 p.a. on a policy of 7 1,30,000

()Free use of motor car of 1.8 ltrs. engine

capacity with Driver, partly for official
purpose and partly for personal purpose.
12
Or

b) Sri Samar Paul is the owner of two houses in

Kolkata. From the following information
compute
his Income from House
Property for the
Assessment year 2018-2019:
House No. 1 House No0.2
Used for
Let Out
Self-occupied
Gross Municipal Value
50,000 60,000
Fair Rent
45,000 55,000
Standard Rent
55,000 65,000
Rent Received
52,000
Municipal Tax
10% 10%
Interest on loan
Vacancy Period 10,000 18,000
1 month
3 months
 13
Other Information

of House No. 1, out of total municipal tax

In case 12
the tenant.
S0% paid by

submits the following Profit & Loss

8, (a) RatanRoy
of his business for the year ended
Account
31-03-2018.
Amount
Particulars
Amount
Particulars
)
20,000 By Sales
5,00,000
To Opening stock
34,000
2,70,000" Closing Stock
Purchase 25,000 99 Bank Interest 20,000
Wages 99 Dividend from UTI 15,000
18,000
Rent
Saiaries 30,000
15,000
"Depreciation
1,000
Baddebt
"Provision for
doubtful debts 2,000
Provision for
Income tax
4,500

Life Insurance
5,000
Premium
sale of
"Loss on 6,000
machinery
"Purchase of furniture 10,000
Motor C a r expenses
12,000

Net Profit
1,50,500

5,69,000 5,69,000

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 14)
Compute Income from business of
for the Assessment Ratan
year 2018-2019 Roy
considering the following additional af
fter
information
Closing stock under valued by 6,000.
) 20% of the motor car is used for
private
works of the proprietor.

() Depreciation as per Income Tax Rules

12,000.
(iv) Wages include 7 5,000 being the wages
paid to domestic servant.
(vSales include F 20,000 being the value of
goods withdrawn by the proprietor. The
cost and market
price of such goods on the
date of
withdrawls were 18,000 and
25,000 respectively.
Or

b) During the Previous Year

Mr. Prasun Jana sells the
following
2017-2018,
capital assets:
Lad Gok!
Sale Proceeds 1,66,62,000 23,03,800 Debentures
40,00,000
1,57,000
Cost of Acquisition 9,10,000
2000
75,000
Year of Acquisition 2000
2000
Fair Market Value
as on 01.04.2001 45,90,000 9,00,000 |7 40,00o
 15

Determine his income under the head capital

Gains for the Assessment year 2018-2019. 12

. (a) For the Assessment year 2018-2019, Sri Asit

Kumar, a non-resident individual, furnishes the
following information
Income from House property 7 2,18,500
Business Income 71,05,000
Short-Term Capital Gains 74,22,000
Long-Tem Capital Gains 2,02,500
Income from owing and
maintaining race horses 71,15,000
Income from card games 2,16,000

Besides, Asit Kumar has the following brought

forward losses/ allowances:

Brought Forward business loss of the assessment

year 2012-2013 F1,12,000

Unabsorbed depreciation allowance of the
assessment year 2012-2013 R2,06,000.

Long term capital loss in respect of the

assessment year 2016-2017> F2,47,200.

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 16)
Brought Forward loss from the activity
of
and maintaining owing
Race horses of the assessment year
2016-201
2016-2011
1,25,000
Speculationlosses of the assessment
vear
2016-2017 730,000.
Determine the income of Sri Asit Kumar for
net
the assessment year 2018-2019.
12
Or
b) Mr. Vijoy Das has a
gross total income of
5,00,000 during the Previous
2018. year 2017

During the year he made the

donations following
Rajib Gandhi Foundation
Kolkata Municipal Corporation 10,000
for
promotion of family
Zila Sakasharata Samiti planning 60,000
60,000
Prime Minister's 10,000
Drought Relief Fund
10,000
 17
Compute the amount of deduction /s 80G
Mr. Das is eligible during the assessment
year 2018-2019.

i) What are the objectives of GST?

8+4-12