Post-Graduate Diploma in Management

(PGDM)

Area: Finance

Course Title – Corporate Taxation

Course Faculty: Prof. Puja Aggarwal Gulati

Email: pujaaggarwal@imt.edu

Office: Chamber No. 51, Faculty Wing 9

Course Description:

Taxation laws have always remained central to the functions of finance manager. Applicable
tax laws influence almost all business decisions taken by a finance manager. This course
deals with both direct and indirect tax laws as they apply to business organizations in India.
Further, it deals with the application of tax laws to various business decisions and tax
planning. Major components of this course are computation of taxable income and tax of
business organizations, provisions related to exemptions, deductions and relief available to
business organizations under the Income Tax Act, 1961, income tax planning and GST

Learning Objectives •

 To introduce the direct and indirect taxation laws in India.

 To identify various tax exemptions and deductions.
 To examine the impact of tax provisions on long-term and short-term business
decisions.
 To analyse, with the help of case laws, various tax provisions and the intent of
legislature.
 To promote an understanding of tax planning.

Pedagogy: The Pedagogy consists of a mix of lectures, exercise, real life situation & case
analysis

Course Requirements: Basic understanding of financial accounting

Evaluation:

Quiz : 20%
Class Participation : 10%
Project : 20%
End Term : 50%

Course Structure

Session 1.0
Topic Name Introduction to Corporate Taxation
Brief outline of deliverables This session is devoted for the overall understanding of the
business taxation structure (Both Direct and Indirect) and laws as they stand in India.

Session 2-3
Topic Name: Overview of corporate taxation
Brief outline of deliverables: Concept of taxable profits, Difference between accounting
profit and taxable profit. Concept of Deferred tax, Concept of Tax planning, Tax avoidance
and Tax evasion. Residential status of a company (Section 5 & 6) , Relevant heads of Income
for a Corporate form of business. Minimum Alternate Tax (MAT) (Section 115JB),

Session 4-6
Topic Name : Income under the head profits and gains of business and profession
Brief Outline of deliverables: Section 28, Deductions expressly allowed under section 30-
37, depreciation calculation. Set-off and carry forward of unabsorbed depreciation, relevant
subsection of section 32. Disallowance of cash payment: Section 40A(3), Disallowance on
default in deducting/depositing TDS ;40(a) , Allowance of expenses only on cash basis; 43B.
Relevant provisions in case of Amalgamation, Demerger .

Session 7
Topic Name: Deduction available to corporates under section 80
Brief outline of deliverables: All the deductions available to corporates under section 80

Session 8-10
Topic Name: Income under the head Capital Gains, income from other sources
Brief outline of deliverables: Sec 45 to 54, Section 56 of Income Tax Act, 1961. Relevant
provisions in case of Amalgamation, Demerger.

Session 11:
Topic Name: Set off and carry forward of losses
Brief outline of deliverables: Section 70,71,73, 94(7 &8)

Session 12:
Topic Name: International Taxation
Brief outline of deliverables: Double Taxation, Methods of Avoiding Double taxation,
Bilateral treaties, Double Taxation Avoidance Agreements

Session 13
Topic Name: GST- Meaning of Supply, charging section, Power of Government to grant
exemption Meaning, Taxable Event, and Taxable Person, Composition Supply

Brief outline of deliverables This session discusses the following topics: i. Meaning of
Goods and Services ii. Taxable event and iii. Taxable person iv. Consideration v. Concept of
supply, Levy and Collection, Composition and Mixed supply, Composition scheme and
eligibility to opt under this scheme, Power of government to grant exemption. Relevant
subsections of Section 2, 7, 8, 9, 10,11, Schedule I, II and III)

Session 14
Topic Name: GST- Place and time of supply. Relevant Subsections of Section 2,12,13,14

Brief outline of deliverables: In this session the provisions related to time and place of
supply will be discussed in detail

Session 15
Topic Name: GST- Valuation except Rules + Input tax credit. Relevant subsections of
section 2, 15,16

Brief outline of deliverables: In this session valuation of goods and services and the
eligibility and conditions for taking input tax credit will be discussed

Session 16
Topic Name: GST Procedures

Brief outline of deliverables: Procedure for Registration, tax invoice, Payment of tax, filing
of return. Relevant subsections section 31,34, 37,38,39 & 44