Acharya Nagarjuna University (ANU) 2007 B.B.M Direct

Direct & Indirect Tax
March 2007
Time: three Hours
Marks: 100
NB:

1. ques. No. one is compulsory carrying 18 marks. Attempt any three ques. carrying 14 Marks every from ques. Nos. two to six from part I .
2. Attempt ques. No. seven & ques. No. eight carrying 10 marks every from part II.
3. All the parts should be written in the identical ans book.

part I

* Q.1 From the subsequent Income and Expenditure Account of Dr. Kamble calculate his total taxable income for Assessment year 2006-07. 18
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Income and Expenditures Account for the year ended 31-3-2006

Expenditure Rs. Income Rs.
To Staff Salaries 1,20,000 By Consulting Fees 4,00,000
To Dispensary Expenses 67,500 By Visit Fees 1,00,000
To Dispensary Rent 60,000 By Gifts from Patients 40,000
To Purchase of Medicines 45,000 By Sale of Medicines at the Dispensary 80,000
To Income Tax 35,000 By Rent from House Property 1,20,000
To Professional Fees to Doctors 22,000
To Car Expenses (for Profession) 36,400
To Membership Fees 2,000
To Municipal Tax for Rented House 12,000
To Interest on Housing Loan for Rented House 18,000
To Printing Charges 4,000
To Depreciation 48,000
To Charity 1,500
To Surplus for the Year 2,68,600
Total 7,40,000 Total 7,40,000
* Additional Information:
1. Gifts from patients include Rs. 1,000 rom his dad in personal capacity.
2. Depreciation as per Income Tax Rules Rs. 45,000.
3. He paid medical insurance premiums of Rs. 8,000 by cheque.
4. He purchased National Savings Certificates of Rs. 30,000 and paid Life Insurance Premium of Rs. 60,000.
5. He paid Rs. 20,000 to Nationalised Bank towards Principle of Housing Loan.
* Q 2. Mr. Chintan Chitale a severely physically disabled person (85%) is employed with Pidilite Industries. He furnishes you the subsequent info for the year ended 31st March, 2006. 14
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* (a) Basic Salary Rs. 30,000 p.m.
* (b) Dearness Allowance @ 20% of Basic Salary.
* (c) Profession Tax deducted at Rs. 200 p.m.
* (d) Bonus Rs. 30,000.
* (e) House Rent Allowance (fully taxable) Rs. 800 P.M.
* (f) Perquisite value of Gas, Water and Electricity Rs. 2,500.
* (g) Arrears of Salary received as per revised pay scale. Net arrears Rs. 50,000, Tax deducted at source on arrears of salary Rs. 15,000.
* (h) He owned a residential house which was used for his own residence. Fair rent Rs. 50,000 and Municipal evaluation of the house was Rs. 60,000.

Earning:   Approval pending.