G & Co. a partnership firm of medical practitioners in which Dr. Lalit and Dr. Arihant are equal partners, furnishes the following receipt and payment account for the previous year ending 31st March, 2024 : Receipts
CS Executive · Tax Laws and Practice · PYQS · December 2024
G & Co. a partnership firm of medical practitioners in which Dr. Lalit and Dr. Arihant are equal partners, furnishes the following receipt and payment account for the previous year ending 31st March, 2024 : Receipts Balance B/f ₹ 75,000 Remuneration to Partners ₹ 18,00,000 Consultation fee ₹ 22,80,000 Assistant Salary ₹ 4,65,000 Visiting fee ₹ 26,51,000 Municipal Tax paid ₹ 50,000 Operation theatre charges ₹ 1,60,000 Instalment paid of housing loan (Interest component ₹ 48,000) ₹ 1,00,000 Rent received from House Property in the name of firm ₹ 2,40,000 Interest paid to partners' capital @ 15% p.a. ₹ 1,80,000 Income from winning of online games (net after deduction of TDS @ 30%) ₹ 70,000 Advance tax paid ₹ 60,000 Amount received from buy back of listed equity share ₹ 5,00,000 Purchase of medical instruments (date of purchase 1st March, 2024) ₹ 3,00,000 Dividend received from the share of Zeta Ltd. ₹ 24,000 Administrative Expenses ₹ 20,00,000 Balance C/f ₹ 10,45,000 ₹ 60,00,000 ₹ 60,00,000 Other relevant informations are as under: (i) Total allowed depreciation u/s 32 of Income Tax Act, 1961 to Firm (other than new medical instrument purchased on 1st March, 2024) was ₹ 75,000. (ii) Rent received – relates to a property situated at Mysore in name of the firm : Municipal value of such property is ₹ 2,00,000. Municipal tax is ₹ 10,000 per annum. During the year firm paid total municipal tax of ₹ 50,000. (Current year and advance for next 4 years). (iii) Salary of ₹ 75,000 per month paid to each partner, both partners are working partners of the firm (as authorized by the deed of partnership). (iv) Interest on capital at 15% per annum (as per the deed of partnership). The amount of capital eligible for interest is ₹ 6,00,000 for each partner. (v) The firm purchased 100 shares of Zeta Ltd. on 12th January, 2023 through recognised stock exchange in India at the rate of ₹ 4,250 per share. Such shares are given to the company under the scheme of buy back u/s 115QA on 15th January, 2024 at the rate of ₹ 5,000 per share. On the basis of above informations, you are required to give the following answers: Compute the Income chargeable under the head of Income from Other Sources for G & Co. for the assessment year 2024-25.
Answer & Explanation:
Answer 1(d) Computation of Income from Other Sources for the A.Y. 2024-25 Particulars Amount Income from winning of online games (Gross up) {70,000/70 * 100} 1,00,000 Dividend received from the share of Zeta Ltd 24,000 Income from Other Sources 1,24,000
Topics: Income Tax
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