DTIMPORTANTQUESTIONS

BasicConcepts:
1. Caseswhereincomeofpreviousyearassessedinthesameyear.
ResidentialStatusandTaxabilityInIndia:
1. Howtheresidentialstatusofanindividualdetermined.
2. ScopeofTotalIncomeaccordingtoResidentialStatus(Section5)
3. IncomedeemedtoaccrueorariseinIndia(Section9)
AgriculturalIncome:
1. AgriculturalIncomeisexemptfromIncomeTaxbutITActindirectly
collectstaxonAgriculturalIncome.
2. AgriculturalProduceusedasarawmaterialinamanufacturingconcern,
howisittreatedinaccountsforthepurposeofIT.
3. ComputationofBIwhereanassesseegrowingRubber,CoffeeandTea.
Exemptions:
1. Sections10A,10AA,10B,10BA&13A.
IncomefromSalaries:
1. TaxtreatmentrelatingtoProvidentFunds.
2. Section17&Rule3.
IncomefromHouseProperty:
1. ConditionfortaxingincomeunderthisheadSection22.
2. IncomefromHPalongwithotherfacilitiesTaxableasBusinessIncome
[ManoharSingh(1965)58ITR592]
3. DeemedOwner
4. BuildingconstructedonLeaseholdlands(Section22&56)
5. Propertyownedbyassesseebutusedbythefirminwhichheisapartner.
6. PropertyownedbyHUFwhichisnotapartnerandusedbyfirminwhich
membersarepartners.
7. IncomefromadvertisementonHoarding[MukherjeeEstatePvt.Ltd.
244ITR1(cal.)]
RelevantDecisionsinalltheabovecases
8. RecoveryofUnrealisedRent.
9. TaxabilityofReceiptofArrearsofRentSection25B.
ProfitsandGainsofBusiness/Profession:
1.
2.
3.
4.
5.

TaxabilityofRevenueSubsidy.
Depreciation
PlantSection 43(3).
RatesofDepreciationforvariousBlockofAssets.
ActualcostforclaimingDepreciation Section43(1)

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6. DepreciationonBuildingandMotorcarheldforpersonaluseputinto
business.
7. Section35ConceptsandComputations.
8. Section35ABBConceptsandComputations.
9. Section36.
10. Section37
11. Expenditures/PaymentsexpresslydisallowedunderITAct.
12. InterestpaidtoResidentwithoutTDS.
13. AllowabilityofInterestPaidonPartnersCapital.Section40(b).
14. RemunerationtoPartner Section40(b).
15. PaymentstoRelatedPartners.
16. PaymentsexceedingRs.20000.
17. DeductionsonActualPayment43B.
18. Incomecomputedonaccrualbasisisnolongerrelevantfortaxationof
income.
RelevantDecisionsinalltheabovecases
19. DeemedIncome.
20. ConsequencesofExchangeRatefluctuationsonCapitalAssetsSection
43A.
21. RecoveryofBadDebtsSection43D.
22. PrincipleofMutuality.DiscussTaxabilityofaCluboraMutual
Concern.
23. Section44AA,44AB,44AD,44AE &44AF.
24. PresumptiveincomesincaseofNon Residents.
25. SpeculationBusinessandSpeculativeTransactions.
26. Sections28(va),33AB,35,35ABB,35AC,35CCA,35D,35DD&
35DDA.
IncomefromCapitalGains:
1. PracticeAdequateNumberofProblemsandhavetheentireconceptsclear.
2. DividendStripping.
3. BonusStripping.
IncomefromOtherSources:
1. TaxabilityofGiftsreceivedbyanassessee.
2. DeductionavailableforincomefromOtherSources.
3. InadmissibleExpendituresanddeemedincome.
4. Principlesgoverningadjustmentofintangibleadditions.

ClubbingofIncome:
1. Section64.
2. Section94.
SetoffandCarryForwardofLosses:

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1. Lossesofcloselyheldcompanies.
2. Sections72,78&79.
DeductionsunderChapterVIA:
1. CompleteControlofthechapterisrequired.
RebatesandRelief:
1. Sections88&89(1).
2. TerminationincludesVoluntaryRetirementalso G.V.Venugopalcase.
TaxationofIndividuals:
Notrequiredtostudy.
TaxationofHUF:
1. PartitionofHUF.
2. Decisionsinthischapter.
TaxationofFirm:
1. WhenwillthepartnershipfirmbeassessedasFirm Section184?
2. Whatismeantbychangein constitution Section187?
3. Sections185&188.
4. Procedureforassessmentwhenfirmisdissolvedordiscontinued.
TaxationofCompanies:
1. Companyinwhichpublicaresubstantiallyinterested.
2. Demerger
3. Amalgamation.
4. MinimumAlternateTax.
5. IsCompaniesliabletopayAdvanceTaxonBookProfits?
6. IncaseBookProfitsaredeemedasTotalIncome,ExplaintheconceptofB.Pin
thecontextofthepowerofA.Otoexamineitscorrectness.
7. ProcedureforcomputationofMATCreditAlongwithCaseLaws.
8. TonnageTaxSchemeFullcontrolisrequired.
TaxationofCoOperativeSocieties:
1. Section80P.
TaxationofAOP:
1. ComputationofTotalIncomeandTaxLiabilityofAOPandMembersofAOP
AssessmentofTrust:
1. AnonymousDonation Section115BBC
2. ConditionsforclaimingExemptionu/s11.
3. Circumstancesinwhichexemptions11&12bewithdrawn Section13.
4. PaymentsdeemedtobeapplicationofIncome.
5. AccumulationofIncome.Canitaccumulatemorethan15%
6. CorpusDonations.

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7. Unabletoapplyminimumof85%ofTotalIncome. Whatistheremedy?
8. Prohibited/Restricted/Interestedcategoryofpersons.
9. Whenincomeisdeemedtobeappliedforthebenefitofprohibitedpersons.
10. AretrustsliableforCGTaxontransferofCA.
11. DifferencebetweenTrustcarryingonbusinessand PropertyofTrustis
business
12. ConditionsforRegistrationofTrust Section12A.
13. Canareligioustrustgetregistered?
14. AreCharitableTrustsliabletoPayWealthTax?
15. IsTrustentitledforexemptionunderWealthTaxActifitlosesexemptionunder
theItAct?
16. ProvisionsoftaxationofOralTrust.
TaxationofNonResidentandAuthorityforAdvancedRulings:
1. BusinessConnection.
2. ApportionmentofProfit.
3. TaxabilityofBPOTransactionsinIndia.
4. RepresentativeAssesseeofNRandAgentofNR.
5. ProvisionsinrespectofRoyaltyandFeesforTechnicalServicesreceivedbyNR
fromGovernmentofIndiaandanIndianConcern.
6. ComputationofIncomeofSpecifiedNRfromspecifiedsource.
7. TaxabilityofNRSportspersonsandSportsAssociationsSection115BBA.
8. Section115C 1151.
9. AdvanceRuling.
10. ProcedureadoptedbyAARonReceiptofApplication Section245R.
11. RejectionofapplicationbyAARSection245R(2).
DTAA:
1. DTAAanditsimpact.
2. DTAAcanalsobemadebetween2associationswhichmaybeadoptedforlevy
oftax Discuss?
3. UnilateralRelief Section91.
4. TreatyShopping.
FringeBenefitTax:
FullControlofthechapterisrequired.
TaxPlanning:
FullControlofthechapterisrequired.
TransferPricing:
1. Legislativeobjectiveofbringingintheprovisionsrelatingtotransferpricing.
2. InternationalTransaction u/s92B.
3. EnterprisesSection9292F.
4. AssociatedEnterprisesSection92A.
5. 5MethodsofComputingALP.
6. ProcedurefordeterminationofALPbytheAO.
7. Dutiesofanassesseeinrelationtointernationaltransactions.

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8. Consequencesofnoncompliancewithregulationw.r.tinternationaltransactions.
IncomeTaxAuthorities:
1. PowerofBoardu/s119ofITAct.
2. ProvisionsofITw.r.t.discovery,productionofevidence.
3. PowersofIncomeTaxAuthority(ITA)tocallforinformation Section133.
4. PowertoremoveBooksduringSurvey Section133A.
5. PowersofITAtocollectcertaininformationu/s133BoftheITAct.
AssessmentProcedure:
1. HavefullcontroloftheSections139, 142, 143, 144,144A, 145, 145A, 147150
&154.
2. PowersofAuthorizedofficerwithregardtosearchandseizure.
3. Presumptionwhichcanbemadeinanybooksofaccount,document,money,
bullion,jewelleryisfoundinpossessionofapersoninthecourseofasearch
4. Constructiveseizureanddeemedseizure.
5. RightsoftheAuthorizedOfficerandtheassesseewithrespecttoretentionof
booksofaccountsSection132(8).
6. PowersofITA u/s132A.
7. NewassessmentprocedureforsearchcasesSection153A.
8. ProcedureofassessementincaseofUndisclosedincomenotbelongingtothe
asseesseebutbelongstootherperson
LiabilityinSpecialCases:
1. ProvisionsforassessmentincaseofsuccessionofbusinessSection170.
2. AssessmentofDiscontinuedbusinessSection176.
AppealsandRevisions:
1. OrdersthatcanbeappealedbeforetheCIT(appeals)Section246A.
2. InanappealfiledagainstanorderpassedbyAOu/s271(1)(iii)theCIT
(Appeals)findsthattheprinciplesandnaturaljusticehavebeenviolatedandthere
foresetsasidetheorderwithadirectiontopassafreshorder.Discuss.
3. PowersofAppellateAuthoritytoadmitadditionalevidence,
4. ThecommissionerofAppealscannotadmitanappealfiledbeyond30daysfrom
thedateofreceiptoforderbyanassessee.Comment.
5. ThefirstAppealAuthorityhasthepowertostaydemand.Discuss.
6. FillingofMemorandumofCrossObjectionsbeforetheIncomeTaxAppellate
Tribunal(ITAT).
7. RecoveringTaxbyAOduringpendencyofappealbeforeITAT.
8. TheITATcannotamenditsorder.Discuss.
9. AcasebeforetheAppellateTribunalcannotbedealtwhenthereisadifferenceof
opinionamongstthemembersoftheBench.Comment.
10. AnappealshalllietotheHighCourtagainsttheorderoftheTribunal.Discussthe
statementscorrectnessorotherwise.
11. M.JanardhanRao273ITR50(SC) Importantdecision.

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12. ConstitutionandoperationNationalTaxTribunal.DontstudyforMay08
Exam.
13. PowersoftheCommissionerinhisreversionaryordersu/s263and264.
14. TheCITcanreviseanorderduringthependencyofanappealbeforethefirst
appellateAuthority.
SettlementCommission:
FullChapterneedstobestudied.
TDS:
FullChapterneedstobestudied.
AdvanceTaxCollectionandRecoveryofTax:
1. Circumstancesunderwhichassesseebetreatedasdeemedtobeindefault.
2. Caninterestbeclaimedontheamountrefundedtotheassesseeonthebasesof
priorappellateorder?
3. Waiverofinterestleviedu/s220.
4. WhendoesAOresorttoaprovisionalattachmentSection28IB?
Interest:
1. Interestu/s234A/234B/234Caremandatoryandcannotbewaivedunderany
circumstancesDiscuss.
Refunds:
1. Cananassesseeclaimrefundoftaxpaidevenaftertheexpiryoftheprescribed
period.
PenaltiesandProsecutions:
1. Timelimitforlevyingpenalty Section275.
2. Penalty u/s271(1)(C) incaseofintangibleadditions.
3. Inthecourseofsearchoperationsu/s132,ataxpayermakesadeclarationu/s
132(4)ontheearningofincomenotdisclosed.Canthatstatesavethetax
payerfromalevyofpenalty u/s271(1)(c).
4. ObligationsonthepartofcertainpersonstofiletheAnnualInformation
Return(AIR)pursuanttoSection285BA.
WealthTaxAct,1957:
1. Sections2(ea),4,5,16A, 18, 19,19A&22
2. ScheduleIII.
3. Rule320.

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