L1.B. 6708.5 LL.B DEGREE VI SEMEST EXAMINATION, DECEMBER 2005 TAXATION LAW Time: 3 Hours ‘Maximum marks : 75 PART-A (Answer ANY FIVE questions) (All questions carry EQUAL marks) (5x6=30) 1. _Discuss the principles of distribution of taxes levied anc! collected by the Union of India Ml, Examine the scope of total income. UL Refer to deductions made in the puyment of tax IV. Answer any three of the following: (a) Development rebate (b) Charitable purpose (©) Income of political parties (@)_—_ Taxes on luxuries and entertainment V. Write a note on eapital income. VI. What is meant by self assessment ? Vil, Examine the mode of recovery of penalty under the Kerala General Sales Tax Act VIII. Briefly discuss how agricultural income is computed. IX. Explain the ‘calculation of net proceeds’ (Article 279 -- Constitution of India). PART-B (Answer ANY THO. questions) (All questions earry EQUAL marks) (2x 124>25) X. Sunder residing at Cochin, assessed to income tax, claiming that during the previous year he incurred an ‘expenditure of Rs.1/- lakh for the treatment of his neighbour, a eancer patient and seeks exemption of tax fr Rs.1/- lakh, Is he entitled to any exemption ? XI. ‘A? was found guilty of evading tox and interest to the tune of Rs,10,000/- during the financial year 2000: 2001. He had already paid Rs.7,000/- income tax, Notice is sent to him in January 2006 for the balance amount of tax and interest. Is ‘A’ liable to pay the tax and interest ? XII Mahendra, owner of a race course has beer conducting horse races from 1975. Sureshchandra had won a race in 1979 and was paid Rs.2,000/- prize mosey. Notice is sent to Mahendra for payment of tax during 1979, the turnover including Rs.2,000/- paid to Sureshchandea. Ts the item (Rs.2,0001-) taxable ? PART—C (Answer ANY THVO questions) (Al questions carry EQUAL marks) (2x 10=20) XIII Write an essay on Heads of Income XIV, Examine the provisions of the Income Tax Act regarding XV. Elaborate the law relating to incidence and levy of Geuetal Sates Tax in Kerala Zz-NIHDOD aAuvualt