1 Mr. Shashikant, aged 45 years, is an Indian citizen and a member of the crew of a Singapore bound Indian ship engaged in carriage of passengers in international traffic departing from Chennai port on 29th May, 2021.
| Particulars | Date |
| Date entered into the Continuous Discharge Certificate in respect of joining the ship by Mr. Shashikant | 29th May, 2021 |
| Date entered into the Continuous Discharge Certificate in respect of signing off the ship by Mr. Shashikant | 19th December, 2021 |
He stayed in India in the last 4 previous years preceding the P.Y. 2021-22 for 400 days and for a period of 750 days in the last 7 previous years preceding to P.Y. 2021-22. He received salary of
7,20,000 in his NRE account maintained with State Bank of India, Chennai Branch.
He also furnished details of other income earned by him during the previous year 2021-22:
| S.no | Particulars | Amount |
| 1 | Dividend declared in the month of April, 2021 by X limited, a Singapore company. The same was received by him in Singapore | 1,00,000 |
| 2 | Agriculture income from land in Pakistan received in India | 2,50,000 |
| 3 | Rent received from house property in Chennai | 3,60,000 |
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
1.1 What is Mr. Shashikant’s residential status for the P.Y 2021-22?
(a) Resident and ordinarily resident
(b) Resident but not ordinarily resident
(c) Non-resident
(d) Deemed resident
Answer- (c) Non-resident
1.2 What would be the total income of Mr. Shashikant for A.Y.2022-23 assume that he does not opt to pay tax under section 115BAC?
(a) 7,10,000
(b) 11,72,000 5,02,000
(c)
(d) 6,02,000
Answer- (c) 5,02,000
1.3. Assume for the purpose of answering this question that Mr. Shashikant has transferred his house property in Chennai to his minor married daughter on 1st April, 2021 and his wife is a housewife and does not have any income. The minor married daughter receives the rent from house property. In such case, his total income would be –
(a) 5,00,500 6,00,500
(b)
(c) 5,02,000 6,02,000
(d)
Answer- (a) 5,00,500
1.4. Mr. Shashikant would like to minimize his tax liability and consulted you to compute the amount of same for the P.Y. 2021-22. Accordingly, his tax liability (rounded off) would be -
(a) 13,420
(b) 13,210 23,610
(c)
(d) 34,840
Answer- (b) 13,210
2. Mr. Suraj (aged 48 years) furnishes the following particulars for the previous year 2021-22 in respect of an industrial undertaking established in “Special Economic Zone” in March 2015. It began manufacturing in April 2015.
| Particulars | Amount |
| Total sales | 85,00,000 |
| Export sales [proceeds received in India] | 45,00,000 |
| Domestic sales | 40,00,000 |
| Profit from the above undertaking | 20,00,000 |
Export Sales of F.Y. of 2021-22 include freight and insurance of 5 lacs for delivery of goods outside India.
He received rent of 25,000 per month for a commercial property let out to Mr. Sudhir, a salaried individual. He earned interest on savings bank A/c of 12,500 and interest on Post Office savings A/c of 5,500 during the P.Y. 2021-22.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
2.1 Compute the amount of export turnover and total turnover for purpose of computing deduction under section 10AA for A.Y. 2022-23.
(a) 45,00,000 and 85,00,000, respectively
(b) 40,00,000 and 80,00,000, respectively
(c) 45,00,000 and 80,00,000, respectively
(d) 40,00,000 and 85,00,000, respectively
Answer- (b) 40,00,000 and 80,00,000, respectively
2.2 Compute the amount of deduction available under section 10AA to Mr. Suraj under section 10AA for A.Y. 2022-23.
(a) 10,00,000 4,70,577
(b)
(c) 5,62,500 5,00,000
(d)
Answer- (d) 5,00,000
2.3. Assume for the purpose of this question only that Mr. Suraj established SEZ Unit and began manufacturing in April, 2018. Compute the amount of deduction available under section 10AA for A.Y. 2022-23.
(a) 10,00,000
(b) 9,41,154 11,25,000
(c)
(d) 5,00,000
Answer- (a) 10,00,000
2.4 Compute the total income of Mr. Suraj for the previous year 2021-22, assuming that he does not opt to pay tax under section 115BAC.
(a) 12,14,500 17,18,000
(b)
(c) 17,14,500 17,28,000
(d)
Answer- (c) 17,14,500
3. Mr. Kishan is engaged in the following activities on agricultural land situated in India, total area of land is 5 acres.
Activity A:
He grows saplings or seedlings in a nursery spreading over on one acre land, the sale proceeds of which is 5,00,000. Cost of plantation is 1,40,000. Basic operations are not performed for growing saplings or seedlings.
Activity B:
He grows cotton on 3 acres land. 40% of cotton produce is sold for 4,00,000, the cost of cultivation of which is 2,25,000. The cost of cultivation of balance 60% cotton is 3,37,500 and the market value of the same is 6,00,000, which is used for the purpose of manufacturing yarn. After incurring manufacturing expenses of 1,00,000, yarn is sold for 8,50,000
Activity C:
Land measuring 1 acres is let out to Mr. Ramesh on monthly rental of 15,000 which is used by Mr. Ramesh as follows:
– 50% of land is used for agricultural purpose
– 50% of land is used for non-agricultural purpose. Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
3.1 What amount of income arising from activity A would constitute agricultural income in the hands of Mr. Kishan?
(a) 5,00,000 3,60,000
(b) Nil
(c)
(d) 1,40,000
Answer- (c) 3,60,000
3.2. What amount of income from activity B with respect to sale of cotton would constitute agricultural income or/and business income in the hands of Mr. Kishan?
(a) 1,75,000 as agricultural income 1,75,000 as business income
(b)
(c) 1,75,000 as agricultural income and 2,62,500 as business income
(d) 4,00,000 as agricultural income
Answer-(a) 1,75,000 as agricultural income
3.3. What amount of the income from activity B with respect to sale of yarn constitute agricultural income or/and business income in the hands of Mr. Kishan?
(a) 1,50,000 as agricultural income 2,62,500 as agricultural income and
(b) 1,50,000 as business income 3,37,500 as agricultural income and
(c) 1,50,000 as business income 4,12,500 as business income
(d)
Answer- (b) 2,62,500 as agricultural income and 1,50,000 as business income
3.4. What amount of income arising from activity C constitute agricultural income or otherwise in the hands of Mr. Kishan?
(a) Whole amount of 1,80,000 would be agricultural income 1,80,000 would be business income.
(b) Whole amount of
(c) 90,000 would be agricultural income and 63,000 is chargeable to tax as income from house property
(d) 90,000 would be agricultural income and 90,000 is chargeable to tax under the head “Income from Other Sources”
Answer- (d) 90,000 would be agricultural income and 90,000 is chargeable to tax under the head “Income from Other Sources”
3.5. Compute the gross total income of Mr. Kishan for the P.Y. 2021-22, assuming he has no other source of income.
(a) 2,40,000 3,30,000
(b)
(c) 5,02,500 2,13,000
(d)
Answer- (a) 2,40,000
4. Mr. Rajesh Sharma, aged 54 years, an Indian citizen, is working as Assistant Manager in ABC India Ltd. He is getting basic salary of 58,000 per month. He used to travel frequently out of India for his office work. He left India from Delhi Airport on 5th October, 2021 and returned to India on 2nd April, 2022.
For previous year 2021-22, following information are relevant;
(a) Dearness Allowance – 10% of Basic Pay (considered for retirement purposes)
(b) Bonus – 98,000
(c) Medical allowance paid during P.Y. 2021-22 amounting to 60,000
(d) He was also reimbursed medical bill of his mother amounting to 15,000.
(e) He was also transferred a laptop by company for 15,000 on 31st December, 2021. The laptop was acquired by company on 1st October, 2018 for 1,00,000. Company was charging depreciation at 31.666% assuming useful life of laptop as 3 years.
(f) He was also reimbursed salary of house servant of 4,000 per month.
(g) Professional Tax paid by employer amounting to 2,400.
(h) 400 equity shares allotted by ABC India Ltd. at the rate of 250 per share against fair market value of share of 350 on the date of exercise of option.
(i) Short-term capital gain on sale of shares of listed company on which STT is paid amounting to 94,000.
(j) Mr. Rajesh does not opt for the provisions of section 115BAC. Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
4.1 What is Mr. Rajesh Sharma’s residential status for the A.Y. 2022-23?
(a) Resident but can’t determine resident and ordinarily resident or resident but not ordinarily resident from the given information
(b) Non-Resident
(c) Resident but not ordinarily resident
(d) Resident and ordinarily resident
Answer- (a) Resident but can’t determine resident and ordinarily resident or resident but not ordinarily resident from the given information
4.2 What are his taxable perquisites for A.Y. 2022-23?
(a) 55,000 90,400
(b)
(c) 1,05,400 1,03,000
(d)
Answer- (c) 1,05,400
4.3 What is the income chargeable under the head “Salaries” in the hands of Mr. Rajesh Sharma for A.Y. 2022-23?
(a) 9,76,600
(b) 9,86,600 9,71,600
(c)
(d) 9,61,600
Answer- (a) 9,76,600
4.4 The total tax liability of Mr. Rajesh Sharma for A.Y. 2022-23 is:
(a) 1,26,800 1,40,710
(b)
(c) 1,12,130 1,39,960
(d)
Answer- (c) 1,12,130
4.5 Assume for the purpose of this question only, that Mr. Rajesh was found owner of 5 lakh worth jewellery acquired in F.Y. 2021-22, of which he could not provide any satisfactory explanation about source of income. What would be the tax liability (without considering surcharge and Health and education cess, if any) of Mr. Rajesh Sharma towards such unexplained expenditure:
(a) 1,00,000 1,50,000
(b)
(c) 3,00,000 3,90,000
(d)
Answer- (c) 3,00,000
5. Mr. Hardik (age 45 years) is appointed as senior executive officer in Sky India Limited, Mumbai on 01.02.2021 in the scale of 35,000- 3500-65,000. He is paid dearness allowance @ 40% of salary forming part of retirement benefits.
He is given rent free unfurnished accommodation on 01.5.2021 which he occupied only from 01.10.2021. The company pays lease rent of 5,000 p.m.
He has been provided a car of above 1.6 liters capacity which is used by him for private purposes only. The actual cost of the car is 8,00,000. The monthly expenditure of car is 5,000, which is fully met by the employer. Car is owned by his employer.
He pays lumpsum premium of 1,20,000 towards health insurance for self and his wife (age 43 years) for 48 months on 01.10.2021 by account payee cheque. He also contributes 1,50,000 towards PPF.
Mr. Hardik is interested to opt for concessional tax regime available under section 115BAC.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
5.1 What would be the value of rent-free accommodation chargeable to tax in the hands of Mr. Hardik?
(a) 44,835
(b) 44,100 45,570
(c)
(d) 30,000
Answer- (d) 30,000
5.2 What amount of health insurance premium paid during the previous year 2021-22 by Mr. Hardik can be claimed as deduction while computing total income, if he does not opt to pay tax under section 115BAC?
(a) 30,000 15,000
(b)
(c) 24,000 25,000
(d)
Answer- (c) 24,000
5.3 What would be perquisite value of car chargeable to tax in the hands of Mr. Hardik?
(a) 28,800
(b) 21,600 60,000
(c)
(d) 1,40,000
Answer- (d) 1,40,000
5.4 Would you advise to Mr. Hardik to opt to pay tax under section 115BAC?
(a) Yes, Mr. Hardik can opt for section 115BAC, since in such case his tax liability would be 22,760, being lower than the tax liability under normal provisions of the Act
(b) Yes, Mr. Hardik can opt for concessional tax regime, since in such case his tax liability would be 17,560 being lower than the tax liability under normal provisions of the Act.
(c) No, Mr. Hardik should not opt, since as per normal provisions of the Act, his tax liability would be 32,510, being lower than the tax liability under section 115BAC
(d) No, Mr. Hardik should not opt, since as per normal provisions of the Act, his tax liability would be 22,110, being lower than the tax liability under section 115BAC
Answer- (d) No, Mr. Hardik should not opt, since as per normal provisions of the Act, his tax liability would be 22,110, being lower than the tax liability under section 115BAC
6. Ananya Gupta, a citizen of India, lives with her family in New York since the year 2000. She visited India from 21st March, 2021 to 28th September, 2021 to take care of her ailing mother. In the last four years, she has been visiting India for 100 days every year to be with her mother. She owns an apartment at New York, which is used as her residence. The expected rent of the house is $ 32,000 p.a. The value of one USD ($) may be taken as 75. Municipal taxes paid in New York in January, 2022 are $ 2,000.
She took ownership and possession of her house in New Delhi on 25th March, 2021, for self-occupation, while she is in India. The municipal valuation is 4,20,000 p.a. and the fair rent is 4,50,000 p.a. She paid property tax of 22,000 to Delhi Municipal Corporation on 21st March, 2022. She had taken a loan of 16 lakhs @ 10% p.a. from IDBI Bank on 1st April, 2017 for constructing this house and the construction got completed on 20th March, 2021. No amount has been paid towards principal repayment so far. The house is vacant for the rest of the year i.e., from October 2021 to March 2022.
She had a house property in Mumbai, which was sold on 28th March, 2021. In respect of this house, she received arrears of rent of 3,00,000 on 4th February, 2022. This amount has not been charged
to tax earlier.
She does not have any income under any other source in India during
previous year in 2021-22.
Ananya Gupta does not want to opt for the new tax regime under section 115BAC for A.Y. 2022-23.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
6.1. What would be the residential status of Ananya Gupta for A.Y. 2022-23?
(a) Resident and ordinarily resident
(b) Resident but not ordinarily resident
(c) Deemed resident but not ordinarily resident in India
(d) Non-resident
Answer- (d) Non-resident
6.2. Ms. Ananya Gupta can claim benefit of “Nil” Annual Value under section 23(2) in respect of -
(a) Her Delhi house
(b) Her New York house, since it is more beneficial; her Delhi house will be deemed to be let out and expected rent would be the annual value.
(c) Her Delhi house alone; her New York house will be deemed to be let out and expected rent would be the annual value.
(d) Both her Delhi house and New York house, since benefit of Nil Annual value u/s 23(2) is available in respect of two house properties.
Answer- (a) Her Delhi house
6.3. What is the income chargeable under the head “Income from house property” of Ananya Gupta for A.Y. 2022-23?
(a) 15,65,000
(b) 3,09,600
(c) 1,00,000
(d) 10,000
Answer- (d) 10,000
6.4. Assuming that, for the purpose of this question alone, Ananya Gupta has let out her flat in New York during the six months (April to September) when she is in India, for a sum of $ 6,000 p.m. Such rent was received in a bank account in New York and then remitted to India through approved banking channels. What would be the income from house property chargeable to tax in her hands in India for A.Y. 2022-23?
(a) 10,000 17,85,000
(b)
(c) 17,95,000 18,85,000
(d)
Answer- (a) 10,000
7. Ram Builders & Developers is the sole-proprietorship concern of Mr. Ram. The main business of the concern is construction, development and sale of residential and commercial units. Ram Builders & Developers developed a project named Luxuria Heaven, which has both residential and commercial units with its own funds. It obtained certificate of completion for the said project with effect from 31/03/2021. Ram sold majority of its residential units and commercial units in the F.Y.2021-22. However, around 30 residential units and 15 commercial units were held by him as stock in trade as on 31.3.2022. During this period, there was a slump in the real estate sector. In order to earn some income from these units, Ram incidentally let out some of the units held as stock-in-trade. The details of units constructed, sold and held as stock-in-trade are given hereunder:
| Particulars | Total Units constructed | Units sold | Units sold Units held as stock in-trade as on31.3.2022 [(2) – (3)] | Units let out duringP.Y.2021 -22 out of (4) | Units vacant during the wholeofP.Y.2021 -22 [(4) – (5)] | Actual rent per unit per month [in respect of let outunitsmentioned in (5)] |
| Residential Units | 100 | 70 | 30 | 10 | 20 | 10,000 pm. |
| Commercial Units | 40 | 25 | 15 | 5 | 10 | 18,000 pm. |
| 140 | 95 | 45 | 15 | 30 |
Out of the residential units sold, 5 residential units were sold to his friend, Mr. Gaurav, who is also a real estate developer, on 15.2.2022, for 20 lakhs each. The stamp duty value on the date of sale was 23 lakhs each. However, the agreement of sale was entered into on 1.11.2021, on which the date the stamp duty value was 22 lakhs. Mr. Ram received 1 lakh by way of account payee bank draft on
1.11.2021 from Mr. Gaurav.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
7.1. While computing the total income of Mr. Ram, the income from residential and commercial units let out during the P.Y.2021-22 will be taxed under head:
(a) Income from house property
(b) Profits and gains of business or profession
(c) Income from let out residential units will be taxed under the head “Income from house property” and income from let out commercial units will be taxed under the head “Profits and gains of business or profession”
(d) Income from other source
Answer- (a) Income from house property
7.2. What would be the tax treatment of vacant residential and commercial units held as stock in trade as on 31.3.2022?
(a) The vacant residential units would be deemed to be let out and expected rent would be deemed as the annual value chargeable to tax under the head “Income from house property” for A.Y. 2022-23.
(b) The vacant units, both residential and commercial, would be deemed to be let out and expected rent would be deemed as the annual value chargeable to tax under the head “Income from house property” for A.Y. 2022-23.
(c) The annual value of both vacant residential and commercial units would be Nil for A.Y.2022-23. Hence, no income is chargeable for such units under the head “Income from house property” for A.Y. 2022-23.
(d) Vacant units held as stock-in-trade can never be deemed as let out at any point of time
Answer- (c) The annual value of both vacant residential and commercial units would be Nil for A.Y.2022-23. Hence, no income is chargeable for such units under the head “Income from house property” for A.Y. 2022-23.
7.3. What would be the full value of consideration in respect of sale of units to Mr. Gaurav for the purpose of computing profits and gains from transfer of units?
(a) 1,00,00,000
(b) 1,15,00,000 1,10,00,000
(c)
(d) 99,00,000
Answer- (a) 1,00,00,000
7.4. Assume that 1 lakh was paid in cash by Mr. Gaurav to Mr. Ram on 1.11.2021 instead of by way of account payee bank draft, what would be the income chargeable under section 56(2)(x) in the hands of Mr. Gaurav?
(a) 15 lakh
(b) 10 lakh
(c) Nil, since the stamp duty value is within the permissible deviation limit
(d) Nil, since section 56(2)(x) is not applicable in this case
Answer- (d) Nil, since section 56(2)(x) is not applicable in this case
8. For the assessment year 2022-23, Mr. Sonu submits the following information:
| Particulars | Building at Chennai (Rs) | Building at Kochi (Rs) |
| Municipal valuation | 35,000 | 80,000 |
| Standard Rent | 36,000 | 70,000 |
| Fair Rent | 31,000 | 82,000 |
| Rent received | 38,000 | 68,000 |
| Municipal taxes paid by tenant Mr. Ramu for building at Chennai and paid by Mr. Sonu for Building at Kochi. | 3,000 | 4,000 |
| Repairs paid by tenant Mr. Ramu for Chennai building and Mr. Sonu paid for Kochi building | 500 | 18,000 |
| Land revenue paid | 2,000 | 16,000 |
| Insurance premium paid | 500 | 2,000 |
| Interest on loan borrowed for payment of municipal tax of house property | 200 | 400 |
| Nature of occupation | Let out for residence | Let out for business |
| Date of completion of construction | 1.4.1996 | 1.7.2008 |
Mr. Sonu is constructing one more building in Mumbai during the previous year 2021-22. Mr. Raju, a film director, took on rent the building under construction in Mumbai at 5,000 per month for his film shooting. The construction of the said building would be completed by April 2022. Mr. Sonu is a real estate developer and letting out properties is not the business of Mr. Sonu.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
8.1. Which of the building’s income is chargeable to tax under the head “Income from house property” in the hands of Mr. Sonu?
(a) Building at Chennai only
(b) Building at Kochi only
(c) Both buildings at Chennai and Kochi
(d) All the three buildings at Chennai, Kochi and Mumbai
Answer- (c) Both buildings at Chennai and Kochi
8.2. Which of the following payments/expenditure is allowable as deduction while computing income under the head “Income from house property” incurred in respect of the building at Chennai and Kochi?
(a) Municipal taxes paid by Mr. Sonu and Mr. Ramu
(b) Municipal tax, land revenue, insurance premium, interest on loan borrowed for payment of Municipal tax paid by Mr. Sonu
(c) Only municipal tax paid by Mr. Sonu
(d) Both Municipal tax and repairs paid by Mr. Sonu
Answer- (c) Only municipal tax paid by Mr. Sonu
8.3. Under which head of income, the amount received from Mr. Raju would be chargeable to tax?
(a) Income from house property
(b) Profits and gains from business or profession
(c) Income from other sources
(d) Income from house property or Income from other sources, at the option of Mr. Sonu
Answer- (c) Income from other sources
8.4. What is the amount chargeable to tax under the head “Income from house property” in the hands of Mr. Sonu for the P.Y. 2021-22?
(a) 72,800 81,200
(b)
(c) 1,14,800 70,700
(d)
Answer- (a) 72,800
9. Mr. Ganesha (a salaried person) has three houses. One in Thane (Maharashtra), second in Jaipur (Rajasthan) and third in Ratlam (Madhya Pradesh). Details of the flats/houses are as follows:
- Thane flat: 3 BHK flat purchased in April, 2003 for 90 lakhs. Afterwards, interior work done in 2006 of 15 lakhs. Mr. Ganesha took loan of 65 lakhs for purchase of this flat in 2001 and settled full loan in 2019.
– Jaipur house: Purchased in July, 2019 of 62 lakhs and interior work done in September, 2020 of 15 lakhs. Loan taken for purchase of this house of 15 lakhs in June, 2019. As per interest certificate, he paid 12,00,500 and 43,500 towards principal and interest, respectively, during the P.Y. 2021-22.
- Ratlam House: Purchased in December 2020 for 70 lakhs (stamp duty value of 65 lakhs). For acquiring this house, he took loan of 40 lakhs from Canara Bank. Loan was sanctioned on 1.8.2020. He pays EMI of 38,100 per month. As per interest certificate, for the previous year 2021-22, he paid 60,900 and 3,96,300 towards principal and interest, respectively
| Particulars | Thane House | Jaipur House (Apr-21 to Dec 21) |
Ratlam House |
| Municipal Taxes paid | 18,574 | 8,090 | 6,909 |
| Municipal value (per month) | 30,500 | 6,800 | 7,200 |
| Fair Rent (per month) | 33,000 | 7,000 | 7,500 |
| Standard Rent (per month) | 32,000 | 8,000 | 7,300 |
Other details are as follows:
- He has sold Jaipur house on 1st January, 2022 for 90 lakhs and invested 15 lakh in RECL bonds issued by the Central Government on 10th August 2022.
- Mr. Ganesha is working in WinDoor Exports Pvt Ltd, Mumbai and self-occupied Thane flat. He earned salary of 22,50,350 for the previous year 2021-22.
– He has no other income from any source for the P.Y. 2021-22.
– He has given Ratlam house on rent for F.Y. 2021-22 to Mr. Pratap on a monthly rent of 8,500.
- He has given Jaipur house on rent for the period of April, 2021 to June, 2021 to Mrs. Madhura Mahto on monthly rent of 7,100 and vacant for remaining period from July, 2021 to December, 2021. Mr. Ganesha would not like to opt concessional tax rates available under section 115BAC.
Cost inflation index (CII) for the Financial Year (F.Y.) 2019-20 is 289; 2020-21: 301; F.Y. 2021-22: 317.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions:
9.1. What would be Net Annual Value of each house for the previous year 2021-22?
(a) Thane – Nil; Jaipur – 13,210; Ratlam – 95,091
(b) Thane – Nil; Jaipur – 54,910; Ratlam – 95,091
(c) Thane – Nil; Jaipur – 21,300; Ratlam – 1,02,000
(d) Thane – Nil; Jaipur – 13,210; Ratlam – 80,691
Answer- (a) Thane – Nil; Jaipur – 13,210; Ratlam – 95,091
9.2. What would be income/loss under the head “Income from house property” in the hands of Mr. Ganesha?
(a) Loss of 1,67,689 2,86,236
(b) Loss of
(c) Loss of 3,20,489 3,63,989
(d) Loss of
Answer- (d) Loss of 3,63,989
9.3. How much amount will be carried forward as loss from house property for the subsequent assessment year 2023-24?
(a) 3,63,989
(b) 1,63,989 2,00,000
(c)
(d) 1,50,000
Answer- (b) 1,63,989
9.4. What would the amount of capital gains chargeable to tax in the hands of Mr. Ganesha during the previous year 2021-22?
(a) Short-term capital gains of 13,00,000 21,99,308
(b) Long-term capital gains of
(c) Long-term capital gain of 6,19,574
(d) Long-term capital gain of Nil, since he is eligible for deduction u/s 54EC in respect of amount invested in RECL bonds issued by Central Government
Answer- (c) Long-term capital gain of 6,19,574
9.5. What would be the gross total income of Mr. Ganesha for the A.Y. 2022-23?
(a) 26,69,920 24,69,920
(b)
(c) 26,19,920 41,99,660
(d)
Answer- (c) Long-term capital gain of 6,19,574
10. “LUX Enterprise” a proprietorship firm of Mr. Lucifer Mornigstar, a resident individual, in Maharashtra engaged in business of printing and publishing. The following details pertain to the assets of the business:
| Particulars | Date of purchase | Date of put to use | Amount |
| Office building superstructure constructed on leased land | 30.09.2021 | 30.12.2021 | 1,85,00,000 |
| BMW M4 convertible car | 23.08.2019 | 25.08.2019 | 94,80,000 |
| Machineries used in printing and publishing process | 25.09.2021 | 15.10.2021 | 9,12,500 |
Notes:
(1) Car is also used for personal purposes; disallowance for personal use may be taken at 20%.
(2) Written down value of Plant & Machinery (Depreciable @15%) as on 1.4.2021 is 1,45,00,000.
Based on the facts of the case scenario given above, choose the most appropriate answer to the following questions, assuming all the aforementioned assets are purchased through account payee cheque:
10.1. What would be the amount of depreciation allowable on plant and machinery (@15%) for the previous year 2021-22?
(a) 24,25,938 23,34,688
(b)
(c) 24,94,375 24,03,125
(d)
Answer- (b) 23,34,688
10.2. What would be the WDV of plant and machinery (Depreciable@15%) as on 1.4.2022?
(a) 1,29,86,562
(b) 1,29,18,125 1,30,77,812
(c)
(d) 1,30,09,375
Answer- (c) 1,30,77,812
10.3. What would the WDV of Office building superstructure constructed on leased land as on 1.4.2022?
(a) 1,85,00,000 1,66,50,000
(b)
(c) 1,75,75,000 1,57,25,000
(d)
Answer- (c) 1,75,75,000
10.4. What would be the amount of depreciation allowable on BMW M4 convertible car for the previous year 2021-22?
(a) 22,75,200
(b) 11,37,600 8,80,957
(c)
(d) 13,14,156
Answer- (d) 13,14,156
