Paper Code: BLW-602 B.A.LL.B. (Hons) VI Semester Examination Tax Law -I (Session 2019/20 - May 2020 - Assignment Based) UNIT -1 Question 1: Define the word ‘Income’ and ‘Agricultural Income’ under Income Tax Act 1965 with the help of decided cases. UNIT -II Question 2: What do you mean by ‘Income from Salaries’? Explain the concept of iverson of ineome and application of income by citing leading cases. UNIT - 1 Question 3: Discuss the concept of 'Profits and Gains from Business or Profession’ and distinguish between capital expenditure and revenue expenditure. Complete your answer with the help of leading cases, UNIT-IV. Question 4: Explain the idea of clubbing of income of other person in assessce's total income, Complete your answer with the ruling of eases Barta Kalyani v. CIT (1985) IS4TTR 59 and JM, Mokashi v. CIT (1994) 207 ITR 252 (Bom) with regard to the clubbing of income. UNIT-V Question 5: What do you mean by Assessment and Best Judgment Assessment? Scanned with CamScannerPaper Code No.- 602 Roll No., B.A. LL.B. Vith Semester Examination, 2018 Subject : Tax Laws ~1 Paper No. IV Time : 3 Hours Maximum Marks : 75 Write your Roll No, on the top immediately on receipt of this question paper. Answer any one qui restion from each unit. All questions carry equal marks, UNIT=1 1. What are the incomes exempt from tax under section 10 of the Income Tax Act, 1961? Discuss referring to relevant provisions, 2 (a) What is agricultural income? Discuss referring to the case of CIT v. Roja Benoy Kumar Sahas Roy . (b) Are the following agricultural incomes ? Give reasons for your answer, (i) A company provides plantation services to customers by taking care of saplings and then transplanting them at customer's premises and receives Payment for the service provided. (il) Where denuded parts of the forest are replanted and subsequent Operations in forestry are carried out, the income arising from the sale of replanted trees. (iii) Income from nursery operations. (iv) Profit accruing from the sale of a standing crop and resale of it after harvest by a merchant. (v) Dividend paid by a company out of its agricultural income. UNIT=I 3. (a) Discuss the tax treatment of ‘ Gratuity’. {b) Discuss the tax treatment of ‘ Leave salary.’ 4. (a) Discuss the computation of income from ‘a let out House Property’ (b) Discuss the computation of income from ‘a self occupied house Property’ Scanned with CamScannerUNIT—I 5. (a) What is ’ Business’ ? When can an isolated transaction constitute an adventure in the nature of trade ? Refer to decided cases. (b) What are the general principles governing assessment of business income? Refer to decided cases. 6. (2) What are ‘capital assets’ and what are ‘not capital assets’? Refer to relevant provisions and decided cases. (b) Discuss ‘ transfer of capital assets’. Discuss referring to relevant provisions. UNIT-IV 7. (a)What are the kinds of incomes which are always taxable under Section 56(2) of the Income Tax Act, 1961? a (b) Explain the deductions available under Section 57 of the Income Tax Act, 1961. by ‘ clubbing of income’? Discuss under what J is assessable to tax in respect of income or idual including that of a minor child. Refer to 8. What do you understand circumstances an individual remuneration of another indivi the relevant provisions. UNIT-V 9. Write notes on the following: (a) Income Tax. Authorities. (b) Search and Seiaure- 40. Discuss the filing of return and the Kinds of assessments available under the Income Tax Act, 1961. Scanned with CamScannerBL-164 Pages: 2 B.A.LL.B. (Hons,) VI Semester Examination, 2017 Subject : Tax Laws ~ I Paper No. IV Time : 3 hours Maximum marks: 75 Write your Roll No. on the top immediately on receipt of this question paper. a Answer any one question from each unit. All questions carry equal marks. Ae : . ON UNIT -1 Oe 1.(a) Describe the residential status of (j) an individual and (ji) a ~ \ Hindu undivided family. . Z (®) () X an Indian citizen, appointed as a Senior Taxation Officer by the Government of Iran, leaves India for the first time on d September 10,.2015 for joining his duties in Iran. During the previous year 2016-2017, he comes to India on a visit for 181 \Yv days, Determine the residential status of X for the assessment \ years 2016-2017 and 2017-2018. \p (i) X, a foreign national (not being a person of Indian origin) ea \y comes to India for the first time from USA on July 11, 2010. He. stayed here for a stretch of 3 years and left for Japan on July 11, 2013. He returned to India on April 10, 2014 and remained here till August 17, 2014, when he went back to USA. He again came back to India on January 30, 2017 at 11.59 p.m. and continued to stay in India thereafter. Determine his residential status for the assessment year 2017-201 8 2. (a) Distinguish between capital receipt and revenue receipt. Explain with illustrations. (b) What is agricultural income and what is not? Give illustrations. UNIT-1I ; 3.(a) What are perquisites? Are these taxable or non-taxable? Refer to relevant provisions. (b) Discuss the tax treatment of leave salary income. 4, (@) What is a “building”? Explain referring to decided cases. (b) Calculate the gross annual value of a let out house property. Scanned with CamScannerUNIT-1T 5. What is a ‘ business’? Under what circumstances can an isolated transaction constitute an adventure in the nature of trade? Explain with the help of decided cases. 6. (a) What are ‘ capital assets’ and what are not ‘ capital assets’? Refer to relevant provisions. (b) What is ‘transfer’? Explain referring to relevant provisions. UNIT-IV - 7. What is clubbing of income? Explain when an individual is assessable in respect of remuneration of anothes and income from assets transferred to another person. In whose hands the income of a minor child is clubbed in? 8. Section 56(1) covers any income which does not fall under any other head of income. Discuss. . ‘What are the various kinds of incomes covered under ‘ Income from other sources’? UNIT-V 9. ‘Net Wealth represents the excess of assets deemed assets but do not include exempt assets’ over debts. Assets include Explain with the help of relevant provisions. 10. Write notes on : (a) Appeals (b) Penalties Scanned with CamScannerPaper Code : BL164 Instructions 1. Write your Roll No. on the top immediately on receipt of t ime : Three Hours B.A, L.L.B. (Hons) VI Semester Examination 2016 TAX LAWS - | Paper No. IV MM. : 75 question paper. 2. Answer ONE question from each unit. Each questions carry equal marks. 1 (a) (b) (i) (ii) (iii) (iv) ™) (b) (b) (b) UNIT=-1 Define Agricultural income. Explain the conditions where an income derived from land can be termed as agricultural income. Whether the following incomes can be treated as agricultural income for the purpose of income tax. Discuss with the help of case-laws. Income received for shooting in a farm house. Dividend paid by the company out of agricultural income Income from nursery operations Income from fisheries Compensation received from insurance company for damage caused by hailstorm to crop. “Income of the previous year is taxable in the immediately following assessment year”. Discuss. What are the exceptions to the above stated rule. Write short notes on: (i) Residential status of an individual (ii) Application and diversion of income (iii) Capital receipts and revenue receipts UNIT =I What are allowances? State the allowances which are taxable and which are exempted from tax under the Income Tax Act. Explain ‘profit in lieu of salary’ under the Income Tax Act. Who are deemed owners of house property? “Tax under the head ‘Income from house property’ is not a tone upon rent 0 a property. It is toned on inherent capacity of a building to yield income.” In light of the above statement, explain : (i) Gross annual value (ii) Net annual value (iii) Deductions available while computing income from house property Scanned with CamScanner5. (a) (b) 6. 7. (a) (b) 8. (a) (b) UNIT =I Explain the concept of ‘Depreciation’ under the head profit and gains of business or profession. Decide whether the following incomes are tuneable under the head profits and gains a business or profession. State reasons for four answet, (i) The assesses owned a dying plant. Due to the non-availability of yarn the plant could not be used by. The plant was therefore let out to another company on rental basis. Whether the rental income is assessable under the head profits and gains of business. (ii) Income received from illegal business. (iii) Assesses is the owner of a business firm. Assesses gives the residential quarters to workers on rent. Decide whether income received by assesses is assessable under the head profits and gains of business. exchange or yy rights therein or the he transactions which ‘Transfer in relation to a capital asset includes sale, ‘ent of the asset or extinguishment of an relinquishm: ‘on thereof under the law. Explain t compulsory acqui constitute and does not constitute ‘transfer’. UNIT) IV What are the specific kinds of income covered under section 56 of Income Tax Act, 1961? Illustrate with examples, ‘A company constituted a building for the purpose of running a hotel. As per the conditions a lease the monthly rent of the building was Rs. 6,000/- and the here a furniture wa ¥/-. Decide whether the income from letting 1s Rs. 4,000, ection 56 or not, give reasons for your answer. ded in 5 when income of other person is inclu he specific kinds of income covered under out was taxable under s Enumerate the instance! assessce’s total income. What are tl section 56 of Income - Ahusband ‘H’ transfer all his transferring the house prop the income from house pro} assessment on the ground thai “wr and H should not be assessed ife ‘W'without is income from house property to wi sed for erty, At the time of assessment, H is asses: perty transferred to ‘W’. H objects to the t the income has already been transferred to to tax on it. Decide. Scanned with CamScannerUNIT -V Write short notes on :- (b) Recommendation of Chelliah Committee on wealth tax. (b) Surcharge on super rich. The Wealth Tax Act was in operation for 57 years in India. However, the Act scrapped in its entirely w.e.f. 1 April 2016. What are the reasons for which the Union of India, abolished the wealth tax act after 57 years of its operation. Scanned with CamScannerHotod Tote : 164 Hotal Pagen 2 Your Roll No, BALLAD (Hons,), Vith Semester Examination 2015 ‘Dx Laws-l Paper No. 1V ‘Vine : Three Hours Maximum Marks : 75 (rite your Roll No. on the top Immediately on’ recelpt of thls question paper.) Attempt one question from each unit, All questlons carry equal marks, UNIT-T Write notes on : (a) Tax free incomes () Capital and reverme receipt. * (a) Explain the residential status ofan individual and a company with the help of cxamples. (b) What is agricultural income? Discuss with the help of decided cases as to what is agricultural income and what is not agricultural income? UNIT (a) What are perquisites ? Are these taxable? Refer to decided cases. (0) How do you compute taxable income in cases of leave salary? (a) What is a ‘building’? Explain with the help of example.'Can a property with out roof be a building? (b) Compute the annual income of a let out house property, UNIT-L What do you understand by ‘business’? Are these business income ? (O a single and isolated transaction, (ii) exchanging of goods for goods or goods for money Gii) a person purchases goods for setting them at a profit PTO. Scanned with CamScanner> transaction (iv) speculat (v) a managing agency. 6. (a) What do you understand by capital gains ? (b) What are personal effects ? Are the following personal effects ? (Loose diamonds Gi) Jewellery Gili) Car (iv) Fumiture (v) Gold bars used for puja for deities. UNIT-IV What do you understand by ‘Income from other sources’ ? What are the kinds of incomes hw covered under sections 56 of the Income Tax Act, 1961 ? Explain. are carried out to evade taxes and dubbing of income “Benami transfers or colourable transfers 8. is a tool to curb tax evasion.’ Explain the statements. UNIT-V 9, What is net wealth? Explain . Does it include assets and deemed assets? Refer to relevant provisions and decided cases. 10. Write notes on : (a) Exempted assets (©) Locations of assets. Scanned with CamScannerBL-164 Total Page Your Roll No B.A. LL.B. (H) VI Semester Examination, 2014 Tax Laws-I Paper No. IV Time : Three Hours ‘Maximutn Marks : 75 (Write your Roll No. on the top immediately on receipt of this question paper.) Note: Answer one question from each unit, All question carry equal marks... a) 3L-164 Unit-I (a) Discuss the law relating to residential status of an individual: X, a foreign national (not being a person of Indian origin), comets India for the first time from USA on July 11,2003. He stayed here for a stretch of 3 years and left for japan on July 11, 2006, He returned to India on April 10, 2007 , when be went back to USA. He again came back to India on, January 30, 2010 at 11.59 p.m. Determine his residential status for the assessment year 2010-2011. (b) Discuss the law relating to residential status of a Hindu undivided family. A Hindu undivided family (X is Karta, A,B and C are other coparcaners) carries on cloth business at Burma. A comes to India and starts a cloth business at Bombay partnership with some other persons. The capital supplied by A to this firm is found to have come from the family. Subsequently, B joins the firm as partner. Later on another business is started at Banaras with the same persons and an outsides as partner. C joins this firm. Should the family be treated as ‘resident’ on the ground that its copanceners are partners in the firms financed out of the family funds and the firms are resident in India. Decide (a) Whatis'agriculture' ? Discuss with the help of principles laid down in CIT v. Raja Bonoy Kumar Sahas Roy. (b) Are the following agricultural income? answer going reasons. (i) Sale of replanted trees (ii) compensation P.T.O. Scanned with CamScannerBL-164 ii) Purchase of Standing crop. (iv) Dividend (¥) Income from nursery operations, Unit-IT () What do you understand by ‘Salary income? @) @) How do you compute taxable income in case of gratuity? ‘What are the conditions for the taxability of income under the head ‘Income from House Property’? Discuss with the help of relevant provisions and decided cases. (b) How do you compute the annual income from a let out house property? Unit-T. Business includes arly trade, commerce, manufacture or any adventure or manufacture, Discuss. Refer to relevant case laws, (@)_ which assets are excluded from the definition of capital assets? Explain. (b) Are the following personal effects?° (i) Loose diamonds, (ii) Jewellery (iii) Car (iv) Fumiture (v) Gold bars used for puja of deitics Unit-IV (@) What do you understand by income from other sources? (b) Discuss with the help of relevant provisions and judicial pronouncements. What is ‘dubbing of income’? Under what circumstances income other, persons is included in the assessce’s income? Refer to relevant provisions of law. Unit-V Distinguish between assets ‘and’ deemed assets, Discuss referring to relevant provisions and decided cases. Write notes on the following : (a) Net wealth (b) Exempt assets, Scanned with CamScanner‘Total Pages : 2 Your Roll No.[8..GA.LLB.2.2. BL-164 . . B.A., LLB, (Hons), Sixth Semester Examination, 2013 Tax Law-I Paper No. : IV Time : 3 Hours Maximum Marks: 75 (Hite your Roll No. on the top Immediately on receipt of his question paper) Note : Answer one question from each Unit. All questions carry equal marks. Unit- ‘What are Tax Free Incomes ? Discuss with the help of relevant provisions of the Income Tax Act. 2. Distinguish between the following : (a). Residential Status of an individual and a Company. (b) Capital Receipt and Revenue Receipt. ' Unit-IT 3. What are the various kinds of salary incomes ? w do you compute taxable income in case of leavy salary income ? He ‘at is annual value of house property ? How is gross annual value and net annual value cafculated ? . jw do you compute annual income of one self occupied property and taxable income from a out house property ? Unit-I Explain the term ‘Business’? Discuss the principles relating to assessment of business income in the light of relevant provisions and decided cases. 3/2 P.T.O. Scanned with CamScanner6. 10. (a) What are personal effects 2 Give reasons and refer to relevant provisions and cases. “(Precious stones ‘set in furniture, (ii) Semi-precious stones sewn into wearing apparel, Gii) Clothes meant for use at wedding or formal occasions, (iv) Silver utensils, (¥) A foreign stamp collection, (b) What are ‘capital assets' arid What are not ‘capital assets' ? Refer to decided causes. Unit-IV Discuss Income from other Sources, What are the various kinds of income covered under this head of income. . Unit-v -- What is net wealth ? Explain the term " "assets" referring to relevant provisions of the law and decided.cases, Write notes on : (a) Deemed Assets (b) Exempt Assets. Scanned with CamScanner‘Code No.: BL-164 Roll No. B.A., LL.B (11) Vith Semester, Examination — 2012 ‘Tax Laws - I Paper No, -IV Time: 3 Hours Max. Marks: 75 Write your Roll No. on the top immediately on receipt of this question paper. Answer one question from each unit. All questions carry equal marks, UNIT QI. (@) Explain the residential status of: i) An individual ii) A company (b) Distinguish between capital receipt and revenue receipt. OR Q2. (a) Explain the term ‘agriculture’ and ‘agricultural income’, (©) Are the following agricultural incomes? Give reasons and refer to decided cases. i) Denuded parts of a forest are replanted and subsequent operations in forestry are carried ut, the income arising from the sale of replanted trees, fi) Compensation received from an insurance company for damage caused by hailstorm to the green leaf forming part of the assessees’ tea garden. iii) Dividend paid by a company out of its agricultural income. iv) Purchase of standing crop and resale of it after harvest and in the process profits accrue to the individual. v) Income from sale of forest trees, fruits and flowers growing on land naturally and sponta- neously and without the intervention of human agency, UNIT-I QB. (@) What are perquisites? Are these taxable or not? Give illustrations and refer to provisions. (6) What are allowances? How is exemption in respect of ‘House Rent Allowance’ calculated? OR Q4. (@) Explain the computation of income from a let out house property. (b) Are the following structures covered under a ‘building’? i) A vacant plot of land ii) A large stadium iii) A house in ruins (without roof and doors) iv) A cattle shed v) A public auditorium, Give reasons and refer to decided cases. UNIT-IIL QS. What is ‘Business’? Explain the principles governing assessment of business income. Discuss in the light of relevant cases. OR Q6. (a) What are ‘capital assets’ and what are not covered under ‘capital assets"? (b) Are the following personal effects? Give reasons and refer to relevant provisions and cases, i) Car, Scooter ii) Silver utensils iii) Clothes meant for use at weddings or formal occasions iv) Semi-precious stones sewn into wearing apparcl v) precious stones set in furniture PTO. Scanned with CamScanner| UNIT-IV ' Q7. ‘Income from other sources’ is the last and residual head of income. Discuss the statement in the light of kinds of income covered under Section 56 of the Income Tax Act. OR Qs. Under what circumstances is clubbing of income attracted and when is it not attracted? Does it also include the income of a minor child? Discuss with the help of relevant provisions and decided. | cases. a « € « UNIT-V Q9. (a) What are assets? Explain with the help of relevant provisions and decided cases. . (b) Are ‘deemed assets’ covered under ‘assets’ for the purpose of wealth tax? Explain why? Refer to relevant provisions dealing with deemed assets and also refer to decided cases. OR Q10. (a) Write a note on the valuation of assets. (b) What assets are covered under ‘exempt assets’? Refer to relevant provisions and decided cases. Scanned with CamScannera i f Total Pages : 3 it ; Your Roll No... 'T putes B.A. LLB. (Hons.) Vith Somoster, Examination, 2011 ‘i Tax Laws-1 Paper No. 1V Time : 3 Hours: - Maximum Marks : 75 (White your Roll'No. on the top“Immediately on recelpt of this question paper) Note : Attempt one question from each Unit. All questions carry equal marks. Questions : UNIT-I 1 Write notes on : (i) Residential Status of an’ individual *\-” (i) Capital-and Revenue Expenditure‘ (ii) Capitaland Revenue Récéipt. 5" °° What is income ? Explain tax’fréé ‘homes. Refer to relevant provisions. 1 Ue cunt 3. | (a) What is salary income’? What" ‘are’ essential norms of” salary income ? A gag Ba NN (b) Explain the tax treatment’of the following fofms* ot ‘sala income : Anh i {ls164/150 Scanned with CamScannerQ.No. Questions (i) Leave Salary, (i) Gratuity, 4. | (a) What are the conditions for applicability of ‘Income from house property’ ? Explain. (b) Discuss the procedure for computation of income from a let out house property. UNIT-II 5. | Explain the deductions that are expressely allowed in respect of expenses and allowances. Refer to relevant provisions. 6. | (a) What are capital assets ? What alll is exduded from the 7 term capital asset ? (b) Are the following personal effects ? () Fumiture, (i) Loose diamonds, (ii) Jewellery, (iv) A foreign stamp collection, (v) Gold and silver coins. and bars used for Puja of deities a8 a matter of pride and ornamentation. . UNIT-IV What is dubbing of income ? Under what circumstances the income from the transferred asset is taxable in the hands of the transferor ?' Refer to relevant provisions. es which are taxable: under the head What are. the incom: , Also explain the deductions ‘income from other sources’ ? available-under this head of Income. Scanned with CamScannera. 10 Questions Warts UNIT-V to relevant (a) What are deemed assets 7 Explain referring provisions and decided cases. referring to relevant (b) What are exempt assets ? Explain provisions and decided cases. Write notes on: (a) Assets, (b) Net wealth, (c) Wealth Tax Authorities. Scanned with CamScannerTotal Pages “4 Your Poll No. BL-164 B.A,, LL.B, (H.) VI Semonter Examination — 2010 Tax Laws-l Papor No. «IV Timo : Three Houre Maximum Marke : 75 (Write your Rol! No, on the top Immediatoly on recelpt of thie question paper.) ° Note : Attempt any one question from each Unit. All questions carry equal marks. Unit-l 1 What aro tax-free Incomes ? Explain with speclal reference to agricultural Income. An assesses grows toa In a toa garden. Duo to a hailstorm, the green leaf in the tea gardon suffers damage. He gels compensation from the insurance company. Is It agricultural income ? Discuss the legal provisions relating to residential status of an individual undor the Income Tax Act, 1961. 'X" an Indian citizen who Is appointed as Senlor Taxation Officer by the Government of Iran, leaves India for the firét time on Seplambar 10,2007 » Yor‘joining tis dutlos in ran. During tte pidviods-yaar 2008-2009 he Bat comes to India on a visit for 181 days. Determine the residential status of 'X' for the assessment years 2008-2009 and 2009-2010. R/3/100 P.T.O. Scanned with CamScanner(i) The residential status of a Hindu undivided family, Head office of XY, a 3. @) (i) 4. (i) (il) Hindu undivided family is situated in Hongkong. The family is managed ¥ (Since 1980) who is residing in India in only 7 out of 10 years preceding the previous year 2001-2002. Determine the residential status of the family for the assessment year 2002-2003 if the affairs of the family’s business are (a) wholly controlled from Hongkong, (b) partly controlled from India. Unit-tl What are the kinds of salary incomes ? Explain referring to relevant provisions. What are allowances ? Explain. X, who resides in Kanpur, receives basic pay of Rs. 78,000/- during the previous year 2001-200. He stays in his fathers house till August'31, 2001 for which he does not pay any rent and thereafter in an accommodation taken on monthly rent of Rs. 3,000/- the employer, howerver, pays Fs. 700/- p.m. as house rent allowance throughout thé previous year. As the sum of the house rent allowance is the least of the 3 sums [viz. (a) As. 31,200 i.e. 40% of salary, (b) Rs. 8,400 ie., house rent allowance and (c) Rs. 13,200 |.e. excess of rent paid over 10% of salary] he claims that entire house rent allowance is exempt from tax under Section. 10 (BA) read with rule 2A. Is he legally correct ? ‘ What are the conditions for the taxability of income under the head income from house property ? Explain. What is annual value of house property ? How is gross annual value computed? Give the stepwise computation. (2) Scanned with CamScanner5. (i) 9. (i) (i) 10. (i) (i) Unit-ll What do you understand by the term ‘business! ? Explain referring t decided cases, What are the basic principles governing admissibility of deductions 7 Explain, Distinguish between capital assets and personal effects. Are personal effects included under capital assets ? What is the position of ‘jewellery’? Unit-lV, What do you understand by the term ‘income from other sources’ 7 Discuss the various kinds of incomes covered under it. Under what conditions is the income of the transferred asset taxable in the hands of the transferor ? What is the purpose behind the dubbing provisions. Refer to relevant provisions. Unit-V What is not wealth ? Explain with reference to decided cases. Distinguish between assets and deemed assets. Refer to relevant provisions. Write notes on: Assets exempt from tax Wealth Tax Authorities. [3] Scanned with CamScanner