ILLUSTRATION 6. Following is the profit and loss account of M/s Himachal Traders, a partnership firm (covered uls 184) for the year ending 31-3-2012 2 2,60,000 Gross profit 14.20.000 20.000 Rent from house property 60,000 5.000 Interest an securities 5.000 50,000 LTCG on plot 1,00.000 NG Salary to Staff Bad debts Bad debt provision Transport expenses Duration to National Blood Transfusion council 20.000 3,00,000 General office expenses Purtner's Salaries: Stam Sheelika 1,80.000 1,44,000 3,24,000 Interest an capital Sham (144 p.a.) Sheelika (16% p.a.) 28.000 32,000 60,000 Net profit Sham 2.73,000 2,73,000 Sheelika 5,46,000 15,85,000 15.85.000 Salaries and interest to partners have been paid as per deed. (m) General office expenses 30,000 paid to a tax consultant in cash. Calculate : (a) Total income and Tax liability of firm, (b) Business Income of the partners