Answered step by step
Verified Expert Solution
Question
1 Approved Answer
You are required to compute the taxable income and tax liability for the tax year Mr. A is the Chief Executive of a multinational private
You are required to compute the taxable income and tax liability for the tax year
Mr. A is the Chief Executive of a multinational private company. Details of his emoluments are as follows: Rs. Basic salary 4,004,520 b) Bonus 1.980,642 c) Utility allowance 400,452 d) Leave encashment 538,083 e) Other allowance 90,000 f) House rent allowance 1,802,040 Apart from the above he has received Director's Fee amounting to Rs.52,000 During the year he has sold shares that were acquired through exercise of a 'Stock Option' (being the shares of a UK company) two years ago. The gain on sale amounts to Rs.4,206,000. He also owns a property which has been let out on rent. The details of rent received and expenses incurred are as follows: (a) Rent Rs.10,000 per month. The property was let out on rent for the whole year. (b) He has paid property tax amounting to Rs.11,500. (c) During the year he has paid Rs.6,000 for repairs and maintenance. During the year the tax withheld at source from salary income is Rs.3,600,000 Required: You required to compute the taxable income and tax liability for the tav vaarStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started