CA Final DT paper may 2018

Originally posted by : Chetan
	You are write.. For more clearity about this point i took assumption that it is assumed that donation is not corpus.. In 1(b) while calculating MAT only fee for technical service was not deducted?

Chetan you are absolutely correct - expenses related to fee for technical services would not be added back, and also its receipt would not be deducted.

Lets wait for suggested answers....Time to study IDT guys...expecting IDT to be easy...nevertheless its ICAI.

Does somebody know the answer to 6(b) - Old syllabus?

If the donations made to other trust form part of corpus fund, then it is not deemed to applied, otherwise it is deemed to be applied - Recent Amendment.

Actual cost of Building is taken as application and not Stamp duty value.

9.27% 

Anyone condidered income from other sources in respect of building purchaded by the trust? SVD-Actual Cost 56(2)(x)(b)

DT-MAY 2018-OLD

1(B)

I Net Profit as per Normal Provisions                                     20,00,0000.00

Add:Int from Y Ltd                          700000.00

Add:Fees for Technical servcs      1900000.00                    26,00,000.00

                                      Net Income                                    46,00,000.00

                    Tax computation

Tax @ 40%39,00,000*40%                                                   1560000.00

Tax @ 5% on Rs.700000*5%                                                    35000.00   

                                                                                             1595000.00                

Add:Education Cess @ 3%                                                        47850.00 

                                                                                              1642850.00   

PROFIT AS PER MAT

Net Profit                                                                           83,00,000.00 

Less:Dividend from Ind,Companies-listed                          8,00,000.00

Less:Dividend from Ind.,Companies-Unlisted                    4,00,000.00

                                                                                          64,00,000.00

Tax @ 18.5% =           11,84,000.00

Add:Cess @ 3%               35,550.00

  TOTAL                       12.19,520.00

Normal Provision tax is higher ---tax payable Rs.16,42,850.00