Important questions for Tax Planning and Estate Planning – CFP
Posted by Prashant Shah on April 20, 2012
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1 |
Pramod redeemed entire units of debt oriented mutual fund on 31 December 2011 at Rs 22.16. He originally purchased 3500 units at Rs 18.27 during 2007-08 .He received dividends of 18% 20% 18% 17% in this period. He reinvested the same by Rs 19.15, Rs 20.06, Rs 21.11, Rs 21.81 at last business day of November 08 to 11.Compute his taxable income for this transaction. CII 07-08 551, 08-09 582, 09-10 632, 10-11 711, 11-12 785.
Hence, LTCL=16,212 and STCG = 125 |
Capital Gains | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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2 |
Xavier aged 37 was awarded a car of market value 4.5 lakh by his credit card company in a draw on 27 sep 2011. The company did not deduct any TDS. Xavier has a total income of Rs 7.85lakhs in PY 11-12. He saved Rs 1.5 lakh under different investment instruments eligible for exemption in 80 (c) and Rs 18k was paid by him on 5 January 12 towards health insurance policy. Find his tax liability for 12-13
Solution:
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3 |
Father purchases residential house for Rs 7 lakh on 28 sep 86. He dies on 21 mar 09 and his son inherited the property. On this date the fair mkt value of property is Rs 36 lakh. His son sold the property on 25 June 11 and received a net consideration of Rs 25 lakh. Determine nature and amount of capital gains earned by son? CII 81-87 140 , 08-09 582 , 11-12 785Solution:
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CG |
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4 |
Mr. Paresh earned income from other sources Rs 30 and LTCG of Rs 70k by selling house. For 11-12 he invested Rs 80k in ELSS of MF. Compute his net total income.
Reason: Deduction U/S 80 C to 80 U cannot be availed in case of LTCG and STCG |
CG |
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5 |
Mr. Malav purchases house property in 81-82 for Rs 3 lakh and sold for 34 lakh on 14 may 11. He purchased new house on 28 June 11 for Rs 10 lakh. Calculate LTCG? CII 81-82 100 and 11-12 785 Solution:
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CG |
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6 |
Mamta age 63 is having income from other sources 4,50,000 and Agriculture income of 50,000. Calculate tax on income (ignore cess). Solution: Total income i.e. 4,50,000+50,000=5,00,000 Tax = 25,000 – 5000 = 20,000 |
AI |
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7 |
Which of the value of asset attract Wealth tax?
Reason: Wealth tax applies when the net assets exceed 30L |
WT |
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8 |
Mr A owns a let out property in Delhi whose net annual value is Rs 100000. The interest paid on loan of the property is Rs 30000. Calculate income from house property?
Solution: The answer of the question looks like 1,00,000-30,000=70,000. But thats not right. The correct solution is,
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HP |
These are the questioned which have been asked by visitors of the site. I have no ownership of any of the question stated above.
PVS (Prashant V Shah) 
Gautam Khanna said
LATEST IMPORTANT QUESTIONS ON TAX N ESTATE PLANNING
1. Which is not exempt under income from house property?
a) Income from property held for any charitable trust.
b) Income from house transferred to wife without adequate consideration.
c) Property income of any political party
d) Income from any farm house forming part of agriculture income.
Prashant Shah said
Dear Gautam,
I will solve the questions and put it in a post.
Will also post capital gains questions in couple of days.
Thank you,
Prashant V Shah.
Prashant Shah said
Dear Gautam,
Thanks for the questions,
I am almost done with the solutions.
Pls post some more questions if you remember.
Prashant.
Gautam Khanna said
Hi,
have some more questions but not able to post as there is a message displaying that already posted.
Prashant Shah said
Dear Gautam,
There might be some problem. But now you can post the questions.
Prashant.
rajvi said
ans b is right?
transfer of property to wife it will clubbed in husbands property only
Gautam Khanna said
hi,
The questions are from 1 to 17 only and i think due to some error it is showing multiple times.Pls avoid rest repeated questions and delete.
rgds
Prashant Shah said
Dear Gautam,
I have got all the questions and solutions are ready for the questions you gave me. I will be posting it soon. The post would remain active for 24 hours, hence copy all those as soon as they are published.
Prashant V Shah.
Gautam Khanna said
Dear Sir,
Thanks for the same.Pls post it today if possible as i would be sitting for exam on monday.
rgds
Prashant Shah said
Have u copied the questions?
Prashant.
Gautam Khanna said
Dear Sir,
have u posted the solutions coz i cudnt find any posts for solutions.Pls tell where it has been posted i have looked in Imp questions on tax planning.
rgds
Prashant Shah said
I have posted it. Copy it soon.
Prashant.
Gautam Khanna said
Thankyou sir….
Have copied the same.will update you when i get new questions.
Will keep u posted
rgds
rajvi said
hey can u plz give me more q of tax? i m plang to gv exam in end of this month so more than this 8 questions????
Prashant Shah said
Dear Rajvi,
These are the only questions which I have for tax planning. These questions have been provided by the readers of this website. However if you have any doubt regarding the subject, feel free to ask. All the readers including me will be happy to help you.
Regards,
Prashant V Shah.
mj123muskaan said
Sir can you post it again please
ajitcfp7 said
@gautam….hello sir……can u help me regarding to tax planning exam…? i m going for TPEP exam on 22 may….can u send some important questions of examination related to TPEP….?
i hope u will appreciate me….thanx
Prashant Shah said
Dear Ajit,
It is beyond the scope of the blog to mail any study material. You may find almost all the relavent material posted on the blog.
Prashant V Shah.
Gautam Khanna said
Dear Sir,
I cud not find any post of solutions by ur side.Kindly help.
rgds
Gautam Khanna said
Dear sir,
with reference to below question you have once said that answer may be 15%.Pls clarify once as on a website i had found the below statement with regards to the question.
Q.Voluntary contribution made for a specific purpose of forming a trust is_____________taxable equivalent
From a website it says ; (d) Voluntary contributions forming part of corpus [Section 11(1)(d)]: Income in the form of voluntary contributions made with a specific direction, that they shall form part of the corpus of the trust or institution, shall be fully exempt. The condition that at least 85% of the income should be applied during the previous year in which it is earned is not applicable in this case.
Pls calrify.
Another question where i need clarification is below wherein most of the books have marked answer as (A) but acc to your solutions and explanation its (C).Pls clarify once
Q.X is a property dealer who buys and sells housing property. He received some rent from a housing property held as stock-in-trade in the Assessment Year 2011-12. This rental income would come under the head:
(a) Income from house property.
(b) Income from other sources.
(c) Business income.
(d) Income under the head capital gains
rgds
Prashant Shah said
Dear Gautam,
For the 1st question, I will have to dig the books. Give me a day for that.
In the 2nd question, as per the act, when rental income is incidental it is considered as business income not the income from HP. Overhere the house is held stock in trade. Hence it is implied that rental income is incidental and the correct asnwer is business income.
Regards,
Prashant V Shah.
Gautam Khanna said
Dear Sir,
Thnx for clearing my doubt on the same.
Let me know about first question when you search the same.
rgds
gautam
Gautam Khanna said
Dear Sir,
Passed TPEP today.
Thankyou for your timely support and cooperation.
Many of the questions 60-70% which i had posted earlier including those 2 imp questions posted above were there in the exam.
I have some more questions on tax planning from todays paper which i will be posting in a day or two.Please help in solving those as it may be helpful for other students also appearing for the exam.
rgds
gautam
Anil said
I searched on some websites. The correct answer is Income from house property. Please let me know
Vinayak said
Dear Prashant,
Waiting for your further posts on TPEP.
In the meantime, wishing all the best to Gautam Khanna for his exam on monday. Gautam, please do not forget to share the questions, whichever you can recall from your exam on monday. I hope Prashant will be kind enough to post them on this blog.
rgds
Vinayak
Gautam Khanna said
Dear Vinayak,
thankyou for the wishes.will keep you posted on the same
rgds
Vinayak said
Gautam,
Congratulations on passing the exam.
Vinayak
Gautam Khanna said
Dear Vinayak,
Thankyou.
rgds
Manish said
Dear gautam heartiest congratulation do post some tpeb question it ll be very helpful for us thanks.
Prashant Shah said
Dear Manish,
Gautam has already suggested many questions. I will be posting all with solution, with special thanks to Gautam.
Prashant V Shah.
Vinayak said
Dear Prashant,
Waiting for some new posts from you on Tax Planning.
Gautam, waiting for the questions from you.
rgds
Vinayak
Gautam Khanna said
Dear Sir,
Following are some of the question which i had got in my exam apart from the earlier question as most of them were repeated.
Request you to kindly share the solutions on the same.
Q1. Difference between mutual will and joint will.
Q2. Promissory note where date is not mentioned is;
a) Payable on demand
b) Void
c) Cheque
d) Bill of exchange
Q3. Which is not a transfer of capital asset under IT act 1961?
a) Shares
b) Transfer under a will
c) Sale of house
d) Distribution of assets on dissolution of partnership firm.
Q4. What are the provisions in trust deed?
Q5. Who is a Sr citizen as per IT act 1961
a) Who is of age 60 at the start of RPY.
b) Who is of age 60 at any point of time in RPY.
c) Who is of age 65 at the start of RPY.
d) Who is of age 65 at any point of time in RPY.
Q6. In business cycle when a business is showing an increase in employment and increase in output is known as?
a) Peak
b) Expansion
c) Loss
d) Sluggish
Q7. Can NRI open a PPF account ?
Q8. Calculate the tax payable on a laptop of Rs 125000 provided to an employee by his company.
a) 25000
b) 50000
c) 12500
d) NIL
Q9. Can HUF open POMIS?
Q10. Treatment of farmhouse income as per IT acts 1961?
Q11. Abhishek won a lottery and received Rs 665000 after TDS.What was the gross value of amount?
a) 950000
b) 938000
c) 980000
d) 995000
Q12. Mr. X has worked in company from last 8years and now received a VRS of Rs 8lacs.Calculate taxable amount ?
a) 5lacs
b) 3lacs
c) 8lacs
d) NIL
Q13. Mr. Y has worked for a company for last 9 years and now received a VRS of Rs 6lacs under RULE 2BA.Calculate taxable amount?
a) 6lacs
b) 1lac
c) 5lac
d) NIL
Q14. Remuneration received by KARTA of HUF will be treated as his individual income.
a) True b) False etc
Q15. Zero income tax is possible if
a) NRI income is from interest on NRE deposit
b) NRI income is from interest on FCNR deposit
c) Entire income is from agriculture
d) All of the above
Q16. RCF is trading at Rs 50.It pays a dividend of Rs 3.5.Dividend growth is projected at 5% and required rate of return is 12%.Find value of stock and ascertain whether it is undervalued or overvalued?
a) Stock value Rs 52.5/Undervalued
b) Stock value Rs 58.3/Undervalued
c) Stock value Rs 38.3/Overvalued
d) Stock value Rs 45.2/Undervalued
Q17. For FY 11-12 the taxable income of Hindustan Co op Society is Rs 30000.Tax payable in 12-13 will be
a) 0
b) 9270
c) 3090
d) 6180
Q18. For FY 12-13 a company XYZ has a profit before tax of Rs 5cr.what will be the net tax payable with cess?
a) 1.62cr
b) 1.60cr
c) 1.66cr
d) 1.64cr
Q19. Mr. R acquires a house on 10 Oct 1974 for Rs 10 lacs.Paid 10k for registration. He spent Rs 50k on 15/03/1980 and Rs 80k on 15/6/99 for improvement of the house. He sold the house on 25 oct 2011 for Rs 25 lacs and paid brokerage of 2% on sale price. Calculate capital gains for 12-13.Assume fair mkt value on 1/4/1981 as Rs 2lacs.CII 81-82 100, 99-00 389, 11-12 785.
Q20. Mrs. X sold 2Kg of gold at Rs 47 lacs on 28/04/11 which she purchased in 2007.Cost of acquisition was Rs 26.38 lacs.She purchased a new house on 13 may 2011.Compute capital gains exempt under sec 54F for 12-13.
a) 3lacs
b) 23.62lacs
c) 0
d) 20.62lacs
Q21. Mr. Prabhakar age 38 and Mrs. Prabhakar age 35 both are working and earning yearly salary of Rs 7.5lacs and Rs 4.5lacs respectively.Mr Prabhakar gifts his wife Rs 10lacs from his savings on 1/4/11.Mrs Prabhakar deposits the same in bank @ 9% pan interest. An FD of Rs 50k @8.5% pa is also held in the name of minor son of Mr.Prabhakar which is gifted by his grandfather on 1/4/11.further Mr. and Mrs. Prabhakar have deposited Rs 1 lac and Rs 80k respectively in their PPF accounts in 11-12.What is their individual tax liabilities for 12-13?
a) Mr. Prabhakar Rs 64740 , Mrs. Prabhakar Rs 27810
b) Mr. Prabhakar Rs 82970 , Mrs. Prabhakar Rs 18540
c) Mr. Prabhakar Rs 64430 , Mrs. Prabhakar Rs 27810
d) Mr. Prabhakar Rs 83280 , Mrs. Prabhakar Rs 18540
Q22. Mr A owns a let out property in delhi whose net annual value is Rs 100000.The interest paid on loan of the property is Rs 30000.calculate income from house property?
a) NIL
b) 100000
c) 30000
d) 70000
Q23. Mr.Rajagopalan buys 10000 units of debt oriented MF @ Rs 18.37 on 24/04/11 under dividend reinvestment option. The scheme gave a dividend of 20% and the record date was 30/4/11 and ex dividend nav of Rs 16.85.He sold original units @ Rs 16.61 on 21 oct 11.The purchase and repurchase prices of growth option on the same scheme were Rs 27.31 and Rs 28.13 on 24/4/11 and 21/oct/11.Calculate for 12-13 the nature of capital gains and difference he invested in growth option.
Prashant Shah said
Dear Gautam,
What has been the result.
Mrs. X sold 2Kg of gold at Rs 47 lacs on 28/04/11 which she purchased in 2007.Cost of acquisition was Rs 26.38 lacs.She purchased a new house on 13 may 2011.Compute capital gains exempt under sec 54F for 12-13.
a) 3lacs
b) 23.62lacs
c) 0
d) 20.62lacs
What was the cost of new house?
Prashant.
Gautam Khanna said
Dear Sir,
Passed TPEP on saturday.
Thankyou for your timely support and cooperation.
Many of the questions 60-70% which i had posted earlier including those 2 imp questions posted above were there in the exam.
I had posted some more questions on tax planning from the paper.Pls help in solving those as it may be helpful for other students also appearing for the exam.
rgds
gautam
Prashant Shah said
Dear Gautam,
Congratulations!!!
The questions which u have given, will definately help many of the students.
Thank you,
Prashant V Shah.
Gautam Khanna said
Dear sir,
Pls post the solutions
rgds
Prashant Shah said
Dear gautam,
I have been very busy last days. Will posting the solutions soon.
Prashant.
Gautam Khanna said
Dear Sir,
Pls post the solutions of problems which i had posted a few days back.
rgds
Prashant Shah said
I will post it on saturday at 10 for 15 mins. for u. make sure u copy it.
Prashant.
Gautam Khanna said
Dear Sir,
Did u posted the solutions.
rgds
Gautam Khanna said
Dear Sir,
Pls post thesolutions.
rgds
Prashant Shah said
Dear Gautam,
I was heavily stuck up with lectures so could not post it. This saturday at the earlier stated time I will post it.
Thanks,
Prashant.
Gautam Khanna said
Sir,
New house for Rs 50lacs.
rgds
Gautam Khanna said
Dear sir,
Pls let know whenever you post the solutions for above questions so that i can copy the same.
rgds
Manish said
Dear prashant sir thanks for the compliment yaa you rightly said questions are imp but content and concept are much imp than tht bcoz we cannot or should not directly jump into questions and started solving them.
manish said
sir i want to ask u one question related to my frnd salary his basic salary is 4940 so according to epf his contribution should be 12% of his salary but his employer deduct 24% from his salary every month is it fair bcoz his employer”s 12% contribution should come from his own pocket rather than deducting from his salary correct me if i am wrong he is working in call centre and obvisously in call centre there r more then 10 employees so the call centre is covered under the act 🙂 waiting for ur reply.
Prashant Shah said
Dear Manish,
There can be 2 possibilities,
1. Ur friend may be lookning at CTC
2. Employer can contribute more than 12% so if that is the case both are contributing 24% which is unlikely to be
I think ur friend is looking at CTC. Pls check it and update me.
Prashant.
Chetan Desai said
Dear Sir,
Can you send me the Important Question for the Income Tax Module. on my Mail ID
Prashant Shah said
Dear Chetan,
I am extremely sorry for that. You can find the post on this blog.
Prashant V Shah.
Chetan Desai said
Ok Sir No Problem
Can You Post some Important Question form the Chapters of RFA, HRA, Tax Liability and Capital Gain form the Exam Point of View.
Manish said
Dear prshant sir I have gone through all ur post but coudnt find more abt insurance do post some imp question or topic related to insurance and m also waiting for tpep questions.thanks
Prashant Shah said
Dear Manish,
Rightly highlighted. Well, I have taught subject many times but still I am in search of some good Indian book for Insurance apart from IC and books of different EPs. I am happy to learn from you that you are also in need of the content of the subject. My experience says that the readers are keen for questions and least concerned about the content of the subject. A sad part. I designed the blog for teaching the different part of subject to the readers and not for just solving their doubts pertaining to questions. I also accept the fact that questions are equally important for the exam orientation. I will be happy to help you on content as well as on questions of the stated topics.
Will further be happy for your quality suggestions to enchance the content and quality of the site.
Prashant.
Gautam said
Hi all,
Have been busy these days with work..now preparing for last exam..
To Prashants thoughts i wud agree that the blog was firstly meant for teaching but thanks to him that we get answer to all our problems.
Also what i have understood while preparing for CFP is that gaining knowledge and understanding the subject is one thing while passing exam is a different thing.One may have a proper understanding of a subject but that doesnt mean that he will definitely pass the exam.This is just what i have experienced.
This is where this blog is of a gr8 help in both things.One can learn imp topics and post imp questions pertaining to exam.
So all the best to evryone.
rgds
gautam
Prashant Shah said
Dear Gautam,
Thank you so much for the valuable opinion. I fully agree with what you said.
Prashant.
manish said
yaa he has shown me the offer letter where all details are given. on left corner ctc is also written i dont know much about ctc so i tell him i ll tell u tommorow by confirming this matter from prshant sir.could u plz explain wht is it so i can explain him about ctc and also tell me the full form of it.
Prashant Shah said
Dear Manish,
CTC means cost to company. It takes care of all the payments made to and for an employee by employer.
Prashant.
manish said
so tht means if there is ctc then employer have the right to deduct 24% from his salary 12% for employee contribution and another 12% for ctc like different types of allowances which he has given to employee as a benefit am i right?
manish said
and what about employer conribution how can employee know that his employer regularly contribute a 12% towards pf and pension fund?
Prashant Shah said
Dear Manish,
Employer are required to deposit the contribution on monthly basis to PF office. Now the system has been online. And every year employee gets the account statement.
Prashant.
Mit Shah said
Hello Prashant sir, can i have more sums on divdend striiping.. plzz i need as soon as possible as i have exam on thursday.. and some theory questions on real estate (will and trust) waiting for your reply
Mit Shah
komal said
Respected Sir,
I would like to thank you for making such an interesting blog , which have helped me a lot. I had a doubt on capital gain of financial asstes. Specially when dividends are declared. Can you help me how to compute tax liabitily on long term and short term finial assets?
Prashant Shah said
Dear Komal,
I believe you are asking about the provision of Dividend Stripping u/s 94(7).
This section is applicable to equtiy shares and units of mutual funds. Which doesn’s allow the holder to claim short term capital loss to the extent of dividend received as set-off.
Pls clarify your concern. Were you asking the same thing?
Regards,
Prashant V Shah.
komal said
Respected Sir,
Can you please recommend me from which book do I study tax and estate planning . The books which I have are merely helping me for the preparation .
Prashant Shah said
Dear Knomal,
You can use singhania if time permits or better option is to go with Mandar’s book.
Prashant.
Manish said
Dear rajvi u r right transfer of property in the name of wife without consideration will b clubbed in the husband’s income but if he transfers the property with adequate consideration(not revocable in the life time of transferee)then such income will not be clubbed in the total income of transferor(husband).
Manish said
Dear sir in the first question is the dividend amt is 10rs per unit?
Vinayak said
Manish,
For MF units, dividend percentage is always declared on the par value of the units, which is usually Rs.10/-. For example, if dividend declared is 18%, it means dividend amount of Rs.1.80 per unit.
Hope that’s the answer you were looking for.
Regards
Vinayak
Manish said
Dear vinayak thanks yeah thats what i am looking for.
Manish said
Dear sir i want to know the solution of the following questions with some explanation..
1.)Mr. Amit & Sumit are partners in the firm ABC & Co. Their P & L Ratio 3:1, their book profit
Rs. 3,50,000. Computation of Remuneration of Mr. Amit & Sumit each partner in the firm (hint
the remuneration paid on the basis of P & L ratio.)
Ans 1 : 26,500, 87,500
Ans 2 : 1,50,000, 15,000
Ans 3 : 2,25,000, 75000
Ans 4 : None of the above
2.)R had been using an asset an asset for his business and its W.D.V. as on 1-4-2009 was Rs.
350000. He sold this asset to G for Rs. 500000 and G leased back this asset to R. The market
value of this asset on the date of sale was Rs. 400000; in this case, the actual cost of this asset to
G for charging depreciation shall be:
Ans 1 : Rs. 500000
Ans 2 : Rs. 350000
Ans 3 : Rs. 400000
Ans 4 : Data Not Sufficient
Manish said
Dear sir today i cleared the tax planning with b grade.
Prashant Shah said
WOW! Congratulations..
Pls share your experience which may help others.
Prashant.
Manish said
Dear sir the paper is quite similiar to first one there where questions on capital gain,dividend stripping and dividend reinvestment i really wanted to write some questions but i dont get time however i want to suggest one website which i recently came across http://www.taxworry.com sir the tax quizes in this site is very helpfull n i request u to paste that questions in ur site tht questions will definetly help others.
rachna said
Dear Prashant
Can you please guide me through this as many questions were asked in my TPEP exam. (i dont remember the exact question)
In a question related to CG on sale of shares (where one has to first determine whether it is a short or a long term gain/loss). is dividend paid also included in the calculation, assuming that shares were sold more than three months after dividend record date)?
Manish said
Dear rachna the concept which u r asking is nothing but a dividend stripping letz take an example xyz mutual fund advertizes for dividend on a particular fund as follows:-
amount of dividend:-rs 10 per unit
price of unit:-rs 30
record date:-1/7/2012
if you purchased 100000 units by 1/7/2012 you will get the following on 2/7/2012
dividend:-1000000
payments for acquring units:-3000000
price of units on 2/8/2012:-19.50
capital loss:-1150000
according to sec.94(7) the loss equal to dividend amt shall not be adjusted with any income if you purchase the said shares or units 3 months prior to the record date and sell within 3 or 9 months from the record date.
rachna said
Dear prashant
please see my query dated Jan 21 and do reply back. i hope my question is clear
RAKESH CHANDRAN said
Respected sir
my name is rakesh can you help me with some questions where capital gains and losses comes in a question where dividend reinvestment option is involved
rishabh agrawal said
Sir, Could you please post more questions on Tax planning and estate planning.
Tejas said
A professional had an amount of Rs. 4.50 lakh in the fixed deposit with his bank in the previous year 2012-13 which earned him gross interest of Rs. 49,188. What could be the amount of TDS deducted by the bank for AY 2013-2014?
Sarthak Gandhi said
Dear Prashant sir and Gautam sir,
i am planning to appear for the tax exam tomorrow for 11.30 batch.
is there any way you could help me with important questions and answers?
Thanks.
zalak thakker said
Dear Prashnt sir,
sir how Tds is calculated.
A proffesional had amt of 4.50 lakh in Fd in previous year 12-13 which earned gross int of 49118 Tds for AY- 13-14 IS 5067
i want to knw how Ans 5067 come
Manish said
Dear zalak,
Bank deduct Tds for any interest earned beyond Rs.10000 in a year.The Tds would be deducted at 10% plus 3% education cess which takes the total deduction to 10.30%.In your case the tds would be calculated as : 49118*10.30% =5059.The important point to note is that you need to include total interest not differential for example :- If you have received Rs.11000 don’t just add Rs 1000 (Rs.11000- RS 10000 exemption) you need to add 11000 as whole.
Kanti said
Dear prashant sir,
I m so happy to share with you that today I cleared tax planning module with C grade. I couldn’t clear in first 2 attempts but thank this blog that helped me to clear this exam
Prashant Shah said
Congratulations!!!
Karthik said
Hello sir,
plz Can u give me some important questions and tips to score good in exam point of view for Tax Module..
vinay said
Sir
I cleared the tax planning exam with C grade yesterday. Thank you verymuch for the explanations, questions and answers provided in this blog.
Prashant Shah said
Dear Vinay,
Congratulations!!!
Darshan said
Hi Vinay,
Can u plz share some questions which came in the exam
Riha said
Hii , there if any one has given the exam in recent can you please share some important questions as i m appearing for the same next week.
Will be grateful for any help provided . Thanks
zalakthakker said
Hi Riha ,
i clered TPEB before 4 month not remeber much but there was 2 question on dividend stripping 1 for bonus share ,
Pramod redeemed entire units of debt oriented mutual fund on 31 December 2011 at Rs 22.16. He originally purchased 3500 units at Rs 18.27 during 2007-08 .He received dividends of 18% 20% 18% 17% in this period. He reinvested the same by Rs 19.15, Rs 20.06, Rs 21.11, Rs 21.81 at last business day of November 08 to 11.Compute his taxable income for this transaction. CII 07-08 551, 08-09 582, 09-10 632, 10-11 711, 11-12 785. ( 4 mark )
above question was there for 4 mark solution is given in fpsb site advance section sp3
2 more question on residential status ( 2 mark),
Riha said
Hi Zalakthakker,
Thanks a lot for sharing and helping . If others can even share some important stuff will be grateful.
Thanks .
Darshan said
Has any one given the Tax Planning Exam recently and also can any one share the questions which are not included in the above questions but were in the exam?
vinay said
hi darshan
there are around 3 questions on residential status, 3 questions on capital gain(sale proceeds invested in new house, how much is exempt like that), one question on dividend reinvestment of a mutual fund scheme. Two questiions were similar to the questions no-6 and 7 section IV from sample paper given in FPSB site.
I dont remember the exact questions.
Darshan said
Thanks vinay for the info
Sangeetha Ravada said
Tax Planning important concepts
1. Residential Status
2. Dividend Stripping
3. Profit/Loss from Income from house property
4.WDV
5.TDS
Sangeetha Ravada said
Aslo Capital gains
jyoti1752 said
Hi all
plz anybody help to solve following question
. Mr.Rajagopalan buys 10000 units of debt oriented MF @ Rs 18.37 on 24/04/11 under dividend reinvestment option. The scheme gave a dividend of 20% and the record date was 30/4/11 and ex dividend nav of Rs 16.85.He sold original units @ Rs 16.61 on 21 oct 11.The purchase and repurchase prices of growth option on the same scheme were Rs 27.31 and Rs 28.13 on 24/4/11 and 21/oct/11.Calculate for 12-13 the nature of capital gains and difference he invested in growth option
Q21. Mr. Prabhakar age 38 and Mrs. Prabhakar age 35 both are working and earning yearly salary of Rs 7.5lacs and Rs 4.5lacs respectively.Mr Prabhakar gifts his wife Rs 10lacs from his savings on 1/4/11.Mrs Prabhakar deposits the same in bank @ 9% pan interest. An FD of Rs 50k @8.5% pa is also held in the name of minor son of Mr.Prabhakar which is gifted by his grandfather on 1/4/11.further Mr. and Mrs. Prabhakar have deposited Rs 1 lac and Rs 80k respectively in their PPF accounts in 11-12.What is their individual tax liabilities for 12-13
jyoti1752 said
Q18. For FY 12-13 a company XYZ has a profit before tax of Rs 5cr.what will be the net tax payable with cess?
a) 1.62cr
b) 1.60cr
c) 1.66cr
d) 1.64cr
In above question my answer is 16995000
is it wrong ??
jyoti1752 said
Hi all
Pls reply the question mention above……
jyoti1752 said
H
jyoti1752 said
Hi manish
You have mentioned above about a site Taxworry there are only questions, is that the same site as you suggested
Manish said
Yes
Aniket Gupta said
hi manish ..can u mail me imp ques of tax planning ..as u given exam
jyoti1752 said
Hello sir
Your client had inherited a property of market value of Rs. 50 lakh from his grandfather on 28th December 2006. His grandfather had acquired this property on 1st September 1998 for Rs. 12 lakh. He sold this property for Rs. 70 lakh in January 2013. Compute the capital
gains/loss for AY2013-14. Cost inflation index for FY 1998-99:351, 2006-07:519, 2012-13:852
sir in above question i got the answer is 5030058
but the given answer is 4087179
as i know when any property is inherited year taken for cost of acqusition is inherited year
and cost of previous owner
sir pls reply whichone is right answer acording to rule
Prashant Shah said
Dear Jyoti,
U are solving the question as per the previous rules of section 49. i.e. cost of acquisition of previous owner but indexation from the year of inheritance.
This rule has changed now. Indexation benefit is available from the year of acquisition of asset by the previous owner.
solve this way:
sale consi = 70,00,000
COA = 12,00,000*852/351
You will get the answer.
Regards,
Prashant.
Pooja Jena said
In the above solution, for indexation we should consider 2006-07 when he the property is actually transferred.
jyoti1752 said
Thank you very much sir
aniketgupta1991 said
hiee
aniketgupta1991 said
sir and friends
PLsss provide me imp question of tax planning
akshay said
i want the solutions of those 23 questions posted by mr gautam khanna.can u give me sir
jyoti1752 said
Hi manish
pls post the right answer of following questions
X purchased on May 10, 2011, 1000 equity shares of Rs.10 each in A ltd.@55.55. On October 20, 2011, he transfers 800 equity shares @37 per share and remaining 200 shares are transferred on December 20, 2011 @ 20 per share. A Ltd. declares 50% dividend (record date August 3, 2011). During the year he has generated long term capital gain of Rs.76,000 on sale of gold.
1. Rs.73,890/-
2. Rs. 59,050/-
3. Rs. 58,050/-
4. Rs. 72,890/-
Vinod invests Rs. 1,50,000 in shares of XYZ ltd on 1st December 2005 and receives a dividend of Rs. 25,000 on 31st March 2006, the record date. The investment is sold on 2nd June 2006 in NSE for Rs. 1,20,000. How much short term loss, if any, arising out of this investment is allowable for set-off in FY 2006-07?
1. Rs. 25,000.
2. Rs. 5,000, since provisions of Sec. 94(7) will apply.
3. Nil.
4. Rs. 30,000.
acording to me answer od 1) 58050 2) 30000
if it wrong then pls post the right answer with clarification
Regards
jyoti singh
Jasbir singh said
Both of your Ans are Correct
if record date would have been 1st of march then it would have created big confusion
jyoti1752 said
Hi all
If somebody know the right option pls post the answes
jyoti1752 said
Hi jasbir
I realy need your help regarding TP exam ,will you help me if i ask some more questions?
Jasbir singh said
You can continue to ask questions. The Participants and followers of this Blog will continue to help you. Feel free ask questions. Because of complexity in Tax we just get confused and Loose our confident.
jyoti1752 said
Hi
There is one question of dividend reinvestment pls post the solution if anybody know
Mr.Rajagopalan buys 10000 units of debt oriented MF @ Rs 18.37 on 24/04/11 under dividend reinvestment option. The scheme gave a dividend of 20% and the record date was 30/4/11 and ex dividend nav of Rs 16.85.He sold original units @ Rs 16.61 on 21 oct 11.The purchase and repurchase prices of growth option on the same scheme were Rs 27.31 and Rs 28.13 on 24/4/11 and 21/oct/11.Calculate for 12-13 the nature of capital gains and difference he invested in growth option
Jasbir singh said
He originally purchased 10000 units of MF with dividend option and taxation will arise in that context only. The record date fall under the 9 months of purchase, It will come under section 94(7). Thus sell price of 10,000 units = (+)16.61 Rs, dividends=(+) 2 and purchase price=(-)18.37.. Therefore (-18.37+16.61+2)= 0 as dividends are not taxable but Mr rajagopalan cannot claim loss
There will be no effects on purchases done in growth options.( can be claimed for 80C)
Go ahead with WDV, don’t know weightages.
pawan said
answer for dat question is stcl 17600 and on growth option stcg 5516
purchase price 10000*18.37=183700
sold price 10000*16.61=166100
166100-183700=17600(loss)
for growth option:-10000*18.37=183700
183700/27.31=6726.473819
6726.473819*28.13=189215.7085
189215.7085-183700=5516(gain)
jyoti1752 said
Hi jasbir
I also want to How much portion of IFB&P covers in the exam.
jyoti1752 said
Thank you very much jasbir..
But i am little bit confused about your answer Is it whole solution of that question and wht about dividend reinvestment and one more think i want to ask?
how can i calculate the 20% divindend and what amount will be for pupose of sec 94(7), that extent to loss is not consider
Jasbir singh said
dividend will be calculated on face value that is 10rs.
he received rs 2/Unit, total 2*10000=20000. which he will reinvest. Now he is going to sell original 10000 units. Now taxation will only arise on Original Units from which he earn Rs2/Unit.
jyoti1752 said
jasbir have you any idea about these two topics ‘managing loss limitation’ and ‘maximization of exclusion and credit’ related to which chapter and what kind of question can ask? these topics are carring 4 marks
pls reply and share the questions if kn
jyoti1752 said
Thank you jasbir
jyoti1752 said
Hi all
Pls post the solution of following question ..
Q21. Mr. Prabhakar age 38 and Mrs. Prabhakar age 35 both are working and earning yearly salary of Rs 7.5lacs and Rs 4.5lacs respectively.Mr Prabhakar gifts his wife Rs 10lacs from his savings on 1/4/11.Mrs Prabhakar deposits the same in bank @ 9% pan interest. An FD of Rs 50k @8.5% pa is also held in the name of minor son of Mr.Prabhakar which is gifted by his grandfather on 1/4/11.further Mr. and Mrs. Prabhakar have deposited Rs 1 lac and Rs 80k respectively in their PPF accounts in 11-12.What is their individual tax liabilities for 12-13?
a) Mr. Prabhakar Rs 64740 , Mrs. Prabhakar Rs 27810
b) Mr. Prabhakar Rs 82970 , Mrs. Prabhakar Rs 18540
c) Mr. Prabhakar Rs 64430 , Mrs. Prabhakar Rs 27810
d) Mr. Prabhakar Rs 83280 , Mrs. Prabhakar Rs 18540
jyoti1752 said
Hi all
I have solved above question and answer is
Tax libility for Mr. Prabhakar is 80906.5 &
for mrs.Prabhakar is 17510
pls someone help to get the right answer
Pooja Jena said
My answer is Mr.Prabhakar Rs.71507 and Mrs.Prabhakar Rs.17510.
Mr.Prabhakar
Salary 750000
Less: deduction PPF 100000
Net total income 650000.
As per Slab tax is Rs.60,000+ TDS on FD (9% of 10L is Rs.90000+8.5% of Rs.50000 is Rs.4250) 10% of 94250 i.e. 9425. Total comes to 69425. Add cess 3% thus tax liability at Rs.71507.
Reenu said
As per AY 12/13 Mr Prabhakar (38) Rs. 190,001 to 500,000 10% Ms Prbhakar (35)
Salary 750000 Salary 450000
Interest Income 4250 (Son Interest Claulated at father Hand 50000*8.5%) Interest 90000 (1000000*9%)
GTI 754250 540000
Less PPF 100000 80000
Taxabale Income 654250 Tax 460000 Tax
Slab 2 (654250-500000) 154250 30850 (20%) Slab 1 (460000-190000) 270000 27000 (10%)
Slab 1 (5000000-180000) 320000 32000 (10%) S Charge 3% 27810
Total Tax 62850 (30850+32000)
S Charge 3% 64735.5
Round Up to 10 64740
Tax Liablity of Mr Prabhakar is 64740 Tax Liability of Ms Prbhakar is 27810
As per AY 14/15 Mr Prabhakar (38) Ms Prbhakar (35)
Taxable Income 654250 Tax 460000 Tax
Slab 2 (654250-500000) 20% 154250 30850 Slab 1 (460000-200000) 10% 260000 26000
Slab 1 (500000-200000) 10% 300000 30000
TAX 60850 26000
S Charge 62675.5 26780
Round Up 62680 26780
Less Rebt 87A for Income Less than 500000 -2000
Tax Liability 62680 Tax Liability 24780
jyoti1752 said
Hi pooja
As i know the salary income and intestest income both are calculated as per normal slab rate and one more think sec 80TTA applied here and we need to deduct 10000 on interest income and TDS will not apply here
Mr Prabhakar
Salary 750000
add interest 90000+4225
gross income 844225
less : Deduction u/s 80c max 100000
and u/s 80TTA max 10000
so net taxable income is 734225
tax libity is 76845
add cess 2305 = 79150
I request to all follower of this blog pls post their comment on above topic and help to get right way of calculation
jyoti1752 said
I have created one mistake above Mr Prabhakr is also eligible for deduction u/s 10(32) rs1500
so tax income is 732725
ta libility is 78841
jyoti1752 said
Hi Reenu
you did’t apply provision of deemed income which applies the interest income 90000 clubbed with husband income and deduction sec 10(32) for minor income 1500
I request to prashant sir pls help us to get right answer.
Regards
jyoti singh
jyoti1752 said
pls prashant sir put your view regarding above question
venkat said
sir pls send recent exam questions of tax planning,i am taking exam on 7th august,2nd attempt
Saurabh Tripathi said
hello sir,
i am going to give the exams of TPEB….. Please confirm me, those budget which is anounced , the new limit is applicable in exam or not ?
Prashant Shah said
No. In our exam ay 14-15 is applicable.
Saurabh Tripathi said
Hii sir,
I am not to solve this qs please help me……
X purchased on May 10, 2011, 1000 equity shares of Rs.10 each in A ltd.@55.55. On October 20, 2011, he transfers 800 equity shares @37 per share and remaining 200 shares are transferred on December 20, 2011 @ 20 per share. A Ltd. declares 50% dividend (record date August 3, 2011). During the year he has generated long term capital gain of Rs.76,000 on sale of GOLD .
zalakthakker said
800 shares 200 shares
Rs Rs.
Sale consideration 29,600 4,000 (No. of shares multiplied by sale price)
Less: Cost of acquisition 44,440 11,110 (No. of shares multiplied by purchase price)
Short-term capital gain (14,840) (7,110)
Dividend received 4,000 1,000 (Dividend received on 50% of face value)
Whether section 94(7) is applicable Yes No Check provisions of Section 94 (7) for this
Computation of income:
Short-term capital loss on sale of 800 shares (10,840) Since dividend stripping provisions are applicable, the dividend received is adjusted against the short term capital loss incurred
Short-term capital loss on sale of 200 shares (7,110) Since dividend stripping provisions are not applicable, the dividend received is not adjusted against the short term capital loss incurred
Short term capital loss which can be carried forward to next AY, i.e., it should be declared in his IT return for AY 2014-15 (17,950)
kunal1305 said
But short term capital loss can be set off against the long term capital gains of same year and in the above case (17950) can be set off against 76000.
jyoti1752 said
Hi zalkthakker
What is your opinion about above question which i asked few days ago
Sohesh Shah said
Q21. Mr. Prabhakar age 38 and Mrs. Prabhakar age 35 both are working and earning yearly salary of Rs 7.5lacs and Rs 4.5lacs respectively.Mr Prabhakar gifts his wife Rs 10lacs from his savings on 1/4/11.Mrs Prabhakar deposits the same in bank @ 9% pan interest. An FD of Rs 50k @8.5% pa is also held in the name of minor son of Mr.Prabhakar which is gifted by his grandfather on 1/4/11.further Mr. and Mrs. Prabhakar have deposited Rs 1 lac and Rs 80k respectively in their PPF accounts in 11-12.What is their individual tax liabilities for 12-13?
a) Mr. Prabhakar Rs 64740 , Mrs. Prabhakar Rs 27810
b) Mr. Prabhakar Rs 82970 , Mrs. Prabhakar Rs 18540
c) Mr. Prabhakar Rs 64430 , Mrs. Prabhakar Rs 27810
d) Mr. Prabhakar Rs 83280 , Mrs. Prabhakar Rs 18540
Solution: Answer(C)
Mr prabhakar:
Salary 750000
Child Income 4250
(50000*8.5%pa)
Total Income = 754250/-
Less: Deduction 100000 (PPF)
Less: Child Income exempt 1500
Net taxable income=(754250-100000-1500)=652750, and tax will be 64426.50/-
Mrs Prabhakar
Salary 450000
FD income 90000
(1000000*9%)
Total Income 540000/-
deduction: (PPF) 80000
Net taxable income= (540000-80000)=460000/-, and tax will be 27810/-
Note: TAx slab is different for MAN and woman for AY 2012-13
Regards
Sohesh Shah
zalakthakker said
Dear jyoti,
in comment no 59 i got sol from fpsb india so it is correct
jyoti1752 said
Hi sohesh
I agree about your solution but, are you sure the provision of Deemed income will not applied here because acording to that interest income will clubbed with husband’s account and answer will channge it may be option b
Sohesh Shah said
Yes. your answer is also correct. I think some details are missing in questions. On assumption basis, both answers are correct
jyoti1752 said
I have solved this way
Mrs Prabhakar income
salary 750000
int. income(clubbed) 90000
minor income 4250
gross income -844250
less deduction
PPF80(c) -100000
minor10(32)-1500
NTI – 742750
tax on above 82966.5 round off it 82970
Mrs Prabhakar
IFS – 450000
less-80000 (80c)
NTI – 370000
tax on above 18540
therefore answer is ‘option B’
jyoti1752 said
I realy confused pls confirm whichone is correct answer??
jyoti1752 said
Hi Zalak
where you get the solution and which option is right?
Pradnya said
hi,
following are some question, which was asked in tax planning exam, kindly give me solutions:
1.. if one fail to collect or pay tds , penalty interest on it? 2%,, 1%,, 1.5%???
2.tax deducted at source for lic agent?
3. what is the status of trustee for taxation purpose?/ how trustee is charged? individual,,
Pradnya said
mr. x, member of huf transferred his proerty to huf, b is karta of huf, income from property will taxed for mr.x? mr.b? or huf
Sohesh Shah said
Any property transfer by HUF members with adequate consideration or proper gift deed, than its tax free for Mr.X and HUF, both.
jyoti1752 said
answer for first one penalty will charged 1% pm or part of month.
second one …if mr. x transfer the property for inatiqate or without consideration income from property will tax in hands of mr. x only untill the property get patition
and TDS for lic agent is 10% no cess and surcharges (no tds extent to 20000 )
and your third question i think status of trustee is individual and he has any bussinessincome then he charged 30% and other than bussiness income then normal slab rate
if you describe more about question then i will able to describe more
jyoti1752 said
Hi pradnya
pls post some more question wwhich were ask in your exam i am also appeared for exam
jyoti1752 said
Hi prashant sir
there is one question which is very popular in some websites and you pls post the answer of that question
Trust :the question is whether the accumulated income which was exempt in year of accumulation can be taxed in any susequesnt year?
Pradnya said
hi jyoti,
sorry i didn’t got your reply (mail) over my phone. just now checked on laptop. a big thanx to you for replying my queries. the above question which you mentioned was also there for my exam. in addition to that many question were asked from sample paper.
same question from sample paper ( Setion III Question 7) was asked but selling date was after 3 months from record date, thats why i had not added dividend income.
Q if suppose purchase date was 28th August 2011, dividend record date is 26th November 2011 and he sold the shares on 14 march 2012 ( which is after 3 months), then should i add dividend income to the loss
jyoti1752 said
Thank you pradnya for your valuvable input .
then total loss canbe carry forward for next assessment year
venkat said
hi,please solve this problem
Mr.X have concealed Rs.400000/-income from his total income which is Rs.1100000/-,what is the minimum and maximum penality payable u/s vi-a?
jyoti1752 said
IT has charged penalty against concealed income u/s 271(1)(c) 100% to 300% of amount evaded
minimum amount 400000
maximum amount 1200000
jyoti1752 said
Hi all
pls.someone post the answer of following question..
is the date of sale and purchase including for computing period of holding
jyoti1752 said
Hi pradnya
I would like to ask you that in your exam was there any question asked about prosecution or prosecution question added with interest question .
pls reply my exam is soon.
regards
jyoti
Pradnya said
hi Jyoti
as far as i remember there was no question on prosecution, but question on penalties (sec.271(1)(c), 271(1)(d) ) was asked
Sohesh Shah said
Shashi wants to purchase a car which is costing 850000/-. She determines that she can afford to pay 15000/- per month for 3 years towards car. the ongoing rate of interest is 1% per month for 3 years. How much can she afford to borrow (approx) ?
A) 451000, b) 456000, C) 850000, D) None
abhishek said
jyoti type will be 1 then your answer in b
jyoti1752 said
here, pmt (-) 15000, rate 1%,nper,3*12 , pv ??, and it will come( 451612 )aprox
here i am going to post some question pls post their views
A businessman sale the property on august/2013 for1.25 crore which was acqurid by him at 85 lakhs on april/2005 sale proceed utilize by him for taking exemption 54f for purchasing the residential house for 40 lakhs within 2 year he purchase flat for 15 lakh for business purpose is that effect his tax laibility.
( i just want to know that there is not mention he has already own house or not in these circumstances his availed exemption will revoked or not )
A assesse purchase 1000 equity share for 1000 each share on april/2007,he is entitled of right share 1 for every 2 share on
april 2010 price is 250 each he subscribe all share ,after 1/march/2013 company get listed and he sales 1200 share at 2835 each share in off market on july 2013 what is capital gain.
(this question is not too tough but creates confution in mind total shares are 1500 and he sold only 1200 now how can i recognize remaing shares are original or right share however both are long term and applied different indexion that resutls unable to execute right one.)
A purchase 10000 units on 20/april/2013 for 18.2136 under the dividend reinvestment option record date is 24/april/2013
dividend declared on unit his ex-dividend NAV price 16.1250 he sale all his unit on 20/december/2013 for 17.6213 ,what is the capital gain on these transtion .
(this question is very important, i request to all followers pls post their view regading above questions)
who is the legal and benificial owner of trust.
trustee
setlor
benificiree
Sohesh Shah said
PV will be 850000.. how u got answer of 451612 ?
jyoti1752 said
Hello prashant sir
A salaried individual, aged 45 years, was awarded a car of market value Rs. 6,50,000 by his credit card company in a draw on 20th December 2012. There was no TDS by the company. He has total income from salary of Rs. 8,45,000 in the previous year 2012-13. He saved a total of Rs. 1,80,000 under different investment instruments eligible for exemption u/s 80C and Rs. 25,000 was paid by him on 5th January, 2013 towards his health insurance policy. Find his tax liability for AY2013-14?
sir i realy unable to understad what concept did used here acording to singania’s book concept given there is no cess applied on TDS execpt salary but on latest uploaded sample paper of FPSB given answer is 279130 but ealier it was given 273280 as should be.. pls explain sir why he did aplied cess on winning income.
jyoti1752 said
what would be the residential staus for foriegn income which is partial controled from india is taxable
ROR,RNOR (resident ordinarly resident , resident but not ordinaarliy resident)
resident, ROR,RNOR
which option is best discribe above pls reply
what would be residential status same for if income is not taxable
jyoti1752 said
sohesh 850000 is not pv that is only cost of car which she wants to purchase,in question asking about what money can she afford now in curent terms means i need to find out pv??
jyoti1752 said
sir above question were asked in exam, paper was not too tough but twisted i have written somemore question which i will post soon, for each question i have written doubt point i request to you pls clarify that
and i request to all follower pls help to solve above question
jyoti1752 said
I did dividend rinvestment question this way
initial unit 10000
total 10* 20%, 2 per unit =2*10000=> 20000
reinvest same above =20000/16.125= 1240.31
sale proceed 10000*17.6213 =176213
cost of aquisition 10000*18.2136=182136
short term capital loss = (-)5923
sale proceed of aditional unit =1240.31*17.6213= 21855.81
cost of acquisiton = 20000
STCG = 1855
net loss 4068
i have atempt this question as my best known pls post their view is it right or wrong
venkat said
hi,
1.Mr.X Had filed his income of Rs.1100000/-and the assessment officer assessed that he has concealed his income Rs.400000/- what is the minimum and maximum penality for the same?
Ans-120000 and 360000
2.
Prashant Shah said
Hi,
Can u help me compile all the questions of tax planning which were there in exam?
And which kind of questions are asked in estate planning?
Regards
Prashant.
venkat said
hi .tnk u all,recently i cleared tax planning and estate planning,preparing for advaced financial planning module and i will have to give on 15-10-2014, please send imp. sums from final module
Prashant Shah said
Here are some of the things which were there in one of my student’s exam
Policy assignment
Net worth with insurance 5 marks
FPSB India is an SRO
PPF withdrawal
Client searching house on rent, you as cfp advisor contact him with broker. What code of ethics?
Assumption of eq and debt proportionate investment
Tax liability
Roger case 8
stress test (goal seek)
Derivatives question
All the best.
Prashant Shah said
Dear venkat.
Can u suggest some important topics for tax and estate planning.
jyoti1752 said
Hi venkat
As you said you have cleared tax planning exam pls post me solution of above question and also share the question which were ask in your exam.
minimum 400000, maximum 120000 (100% to 300% of tax evaded amount)
Harshil said
Sir,
Are these questions as per A.Y. 2014-15 and P.Y. 2013-14 ?
Prashant Shah said
Dear Harshil,
These are old questions and are not as per the current assessment year i.e.2014-15.
Regards,
Prashant V Shah.
Harshil said
Thank you.
Sir so can you please mail me the new questions.
jyoti1752 said
sir i have already posted new questions which were asked in exam but you didn’t reply on them.same was 3 maker questions
Prashant Shah said
All right.
I was heavily stuck with some academic assignment almost for a month. Hence couldn’t solve those questions. Now relatively free. Let’s solve those question.
jyoti1752 said
sir pls. post the solution, which i had posted
jyoti1752 said
There were around 5 to 6 question from trust, 2Q from power of attorney’ and 2to3 from will, 1 question for succession law
& eight question were asked only from residential status and then after 2 or 1 from each topics,and as we all know importance of capital gain
there are few questions which were asked in exam
1) How mutual will different from joint will ?
2) testamentry sucssession act is ?
3) who can execute the power of attorney ?
4)A HUF constitute a father widow with three sons and one daughter what is the part of share of daughter .
5) what is the provision of trust deed ?
6) who is legal and benificial owner of trust ?
7) what is status of trustee for taxation purpose ?
8) CBDT formulating by which entity
a) income tax act 1961
b) finice act
9) CD is promisory note issued by banks and finiciaal instutions this part of
a) CLR only
b) both CLR and SLR
c) either SLR or CLR
d) SLR only
10) what whould be the residential status one has foriegn business income partialy controled from India ?
11) In which circumtances a non resident wwhich is wworking out side india his salary is taxable in india?
12) a wife traansfer a bond to his husband the income from such bond taxable in which hand ?
13) what is provision of DTAA ?
14 ) a person taking hoam loan for his SOP property on 1/april/2013 how much deduction he can take under income from house property
15) a person taken hoam loan and educaation loan ,he paid 30000 as principal 13000 as interest aganist hoam loan and 18000 as principal and 8000 as interest against education loan ,what whould be deduction u/s 80C and 80 E ?
16) an assesse lives his parent from 1/auguest/2013 he takes a rent accommodation for this he is paying 10000 pm his basic salary is 240000 and HRA received by him 2500 pm ,wwhat is his taxable HRA
and 2 question from annuity one from immediate annuity and one deffered annuity from sample question and three question of capital gain alredy have posted and 2 question from home equity ,and few questions from sample question
Prashant Shah said
Wow. Great job.
Thank u so much.
I will convert all these questions into a post.
jyoti1752 said
sir i did all question bt one question of right share(capital gain) which i had posted earlier unable to solve pls clearify that if one has 1000 original share and 500 right share and he sold only 1200 share,then how can i recognize balace share are right share or original share however there was not mention anything just write only 1200 share
jyoti1752 said
for housing loan, is deduction available only for principal amount ? or both interest and principal
Niti said
Please share the answers of the above questions which is shared by Jyoutri
jyoti1752 said
Hi all
Here i tried to solove following question pls let me know am i right or wrong?
A purchase 10000 units on 20/april/2013 for 18.2136 under the dividend reinvestment option record date is 24/april/2013
dividend declared on unit his ex-dividend NAV price 16.1250 he sale all his unit on 20/december/2013 for 17.6213 ,what is the capital gain on these transtion
solution : (17.6212+2) -(18.2136) = 1.4077 => 1.4077*10000 = 14077
Prashant Shah said
What is the dividend per unit?
jyoti1752 said
record date 24/april/203 dividend declare 20% on unit rest of as above
pavan kumar said
A assesse purchase 1000 equity share for 1000 each share on april/2007,he is entitled of right share 1 for every 2 share on
april 2010 price is 250 each he subscribe all share ,after 1/march/2013 company get listed and he sales 1200 share at 2835 each share in off market on july 2013 what is capital gain.
jyoti1752 said
sir you pls answer of above question with explanation, my exam will held on coming week
Darshan said
Hi Prashant Sir,
Sir can u tell me whether the new interim budget laws are applicable in tax exam or still the old ones of AY 14-15?
Prashant Shah said
We follow AY 14-15. Same will remain applicable till 31st Jan 2015.
Darshan said
Thank You Sir for the prompt reply.
dhwani said
guyz plz suggest new sums of tax as im applying in in next week..
Nina Sundaran said
Dhwani,
Look Capital gain in detail,RFA.
Study theory of estate planning
Darshan said
Has anyone gave the tax exam recently. Can anyone share any recent questions from the exam. Thanks
dhwani said
THANKS NINA
cn u plz suggest sums which are important for exam
Roopa said
Request all, to provide solution for the following.
Jyoti, in case you have got the solution,plz.post.
A purchase 10000 units on 20/april/2013 for 18.2136 under the dividend reinvestment option record date is 24/april/2013
dividend declared on unit his ex-dividend NAV price 16.1250 he sale all his unit on 20/december/2013 for 17.6213 ,what is the capital gain on these transtion
Nina Sundaran said
Dhwani,
I got sums from capital gain. dividend stripping is also important.
Mr. A redeemed the entire units of a debt oriented Mutual Fund on 31st December 2013 at Rs. 22.16 per unit. He originally purchased 3,500 units at a price of Rs. 17.47 per unit under dividend reinvestment option on 4th December 2010. He received dividends of 20%, 18%, 17% in this period on his outstanding units which were reinvested respectively at NAVs of Rs. 19.43, Rs. 20.91, Rs. 22.61 in the month of November in the years 2011 to 2013. What is the tax treatment of these transactions for AY2014-15. (Cost inflation index for 2010-11: 711; 2011-12: 785; 2012-13: 852; 2013-14 : 939)
Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2013-14: 939)
A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p.a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2014-15?
These type of questions that I have got in the examination. But I got failed.
Hope it will be useful to you.
jyoti1752 said
my solution is written above, a day before yesterday i have cleared TP exam,it was very tough compare to previous exam,3 maker questions were very tough which i am unable to recall, but i must say you have to study more on trust and residential status
Roopa said
Hi Jyoti1752
Plz. suggest imp.topics and questions.
Which book you have followed
dhwani said
NINA,
THANK YOU SO MUCH
I vl look at the sums nd i vl try it..
jyoti1752 said
I read with v.k.singhania’s CA final not whole only acording to slybus, and residential status and trust, will, power of atorney, and capital gain are very impotant for exam ,i have alredy sugested question written above posts
Prashant Shah said
Which kind of questions did u have on estate?
roopa said
Dear Jyoti,
Thanks a lot.
Nina Sundaran said
Dhwani,
Please note the questions when you getting on the examination and share it. It will be useful for those who are preparing for the examination.
dhwani said
NINA,
yea sure i vl do
jyoti1752 said
sir i am unable to recall the questons but here i mentioned some topics which are important like revokable and irevokable trust,living trust, discretionary trust, family trust, AB trust,Asset protection, and tax issues on them like federal and estate taxes
question like .. not exactly ,,acording t ome i have written answer in brakets
if one wants to full cntrol over the trust propery that kind of trust known as ?,(revocable living trust )
for tax pupose who is lible for tax? ,(settlor)
if one wants to protect trust from creditors one has to create which kind of trust ?(discretionery irrevokable trust)
who is legal and benificial owner of trust (trustee)
Prashant Shah said
Dear Jyoti
Great job.
Thanks.
Darshan said
Prashant Sir,
Can u suggest me a reference book for tax planning.
I am currently using FPA Book.
Is FPA tax book sufficient to clear the tax exam.
Please advice.
Thanks
Prashant Shah said
FPA book should be adequate. U may use vk singjania for reference.
Regards.
Darshan said
Which are the main topics to be studied from V.K Singhania.
Prashant Shah said
All the topics but limited to our curriculum as singhania is vast.
virali said
A company engaged in power generation purchased turbines for its plant at total cost of Rs 9.25 cr in june 2012. The depreciation which can be claimed in the books of accounts as per Companies act is prescribed a 20%on straight line method. The depreciation as per income tax act for such item is 60%on written down value basis. What tax liability would stand in company’s books of accounts as on 1st april 2015?
plzz send solution as fast as possible
jyoti1752 said
solution is given in sample question uploaded by FPSB India.
Nina Sundaran said
1.Mr.X Had filed his income of Rs.1100000/-and the assessment officer assessed that he has concealed his income Rs.400000/- what is the minimum and maximum penality for the same?
Ans-120000 and 360000
Can anyone tell how to solve this problem.
Prashant Shah said
Maximum Penalty on the concealed income is 300% of the tax evaded.
Regards,
Darshan said
Sir,
Is the answer 1,10,000 & 3,30,000?
jyoti1752 said
first you have to calculate income tax on reported income (1100000),after that calculate on gross income (1400000) ,then findout difference tax amount ,penalty willbe levied 100% to 300% of difference amount
jyoti1752 said
sorry for error gross is 1500000(1100000+400000)
Nina Sundaran said
Thank you so much jyoti
Darshan said
Prashant Sir,
Sir can u tell the full name of the V K Singhania Book as there are lot books written by him.
Thanks
Prashant Shah said
Hi,
the one I use is direct taxes (law and practice). its for ca final and MRP is 825.
Regards,
Prashant.
Rajat said
I am not able to find material on Trusts ,HUF please help
Prashant Shah said
Dear Rajat.
I will publish relevant material on trust soon.
Regards,
Prashant.
abhishek said
sir plz publish soon i needed
abhishek said
My exam Tax and etstate planning on 8 if its possible to send me some important questions
abhishek said
My exam Tax and etstate planning on 8 if its possible to send me some important question
Prashant Shah said
Dear Abhishek.
I don’t have any further question but Jyoti has posted some. Please go through comments.
Regards.
Prashant.
Darshan said
Prashant Sir,
Can u post some study material on Trust
abhishek said
Jyoti plz send me some imp theory question on tax and estate planning
ASHISH PRATIHAR said
Thanks to Prashant Sir and other member for contribution…. Glad to inform you that I clear my TPEP Exam
There are some question i remember;
1) One question from Trust – Calculation –
2) question on annuity & differ annuity
3) lots of question on residency & foreign income,
4) Capital Gain – 54F, 54EC
5) When agriculture income will be consider for taxable income…
6) one marks question on DDT taxable in case of Individual & NRI,
7) DDT to NRI ?
8) Code of Ethics
9) HRA – Question like – person stay with father for 3 month and for remaining he stay in rent. calculate tax amt.
10) Concealment Penalty,
11) Divined Striping,
12) Home Equity,
13) Question on Net worth
Prashant Shah said
Congratulations!!!
Thanks for contribution.
Regards,
Prashant.
Darshan said
Ashish
Congratulations. Can u share some questions of 3 & 4 marks it will be a great help.
Darshan said
Ashish,
Can u tell what we’re the questions on annuity & defer annuity?
Pleas reply soon so that I can go through them I have my exam soon
Abhishek said
Dear friends and sir plz provided solution to this question. I have exam on 8 help me
Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2013-14: 939)
A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p.a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2014-15?
A purchase 10000 units on 20/april/2013 for 18.2136 under the dividend reinvestment option record date is 24/april/2013
dividend declared on unit his ex-dividend NAV price 16.1250 he sale all his unit on 20/december/2013 for 17.6213 ,what is the capital gain on these transtion
Darshan said
Prashant Sir Can u please explain the solution to the below question it is in sample paper. Just want to know how they have calculated the tax for male & female beneficiary.?
A trust is created by a son, the Settlor, for the survival expenses of his retired parents each having equal beneficial interest. Both husband and wife have separate fixed
pension of Rs.35,000 per month and Rs. 20,000 per month, respectively. The trust property has generated a net annual value of Rs. 5.12 lakh in the previous year
2013-14. The trustee as well as the Settlor is in the 30% tax bracket. Find the tax payable by the trustee as representative assessee.
Prashant Shah said
Sure. In couple of days.
Darshan said
Sir,
If u get time plz explain my query for the above problem.
Prashant Shah said
Hi,
Here in this case u should first calculate tax liability including trust income.
secondly calculate tax liability excluding trust income
Find difference of both.
That’s the tax payable by trust.
Also consider rebate u/s 87A. I.e. when the income including trust income is than 5Lakh, rebate of Rs.2000 (before education cess)
Regards,
Prashant.
Darshan said
Sir didn’t understood properly can u explain with numbers mentioned in the problem.
Darshan said
Can anyone please answer the below question
1) A House property in Kolkata having a municipal value of 5 Lacs, Fair Rental Value of 6 Lacs, was intended to let out to tenants. Unfortunately, during the entire previous year there was no tenant for this house property. Municipal tax 5000 (of which 1200 is payable). Interest paid on loan taken for purchase of this property is 1,79,000. Compute Income from House Property.
a) Loss of 153500
b) Income of 153500
c) Loss of 182500
d) Nil
Abhishek said
i clear my tax exam this blog really help me spcl for theory part go throug trust estate planning power atrny nri , will ,hindu seccesion act ,
Darshan said
Congratulations Abhishek Can u share some questions which came in the exam specially 3& 4 marks
Darshan said
Can anyone help me with this question?
1)Mrs. X sold 2Kg of gold at Rs 47 lacs on 28/04/11 which she purchased in 2007.Cost of acquisition was Rs 26.38 lacs.She purchased a new house on 13 may 2011.Compute capital gains exempt under sec 54F for 12-13.
a) 3lacs
b) 23.62lacs
c) 0
d) 20.62lacs
What was the cost of new house?
I think there is something still missing in the question?
Sir plz reply.
Prashant Shah said
Yes. Acquisition value of new house is missing.
Darshan said
Sir can u plz check this question and my solution to it i didnt got the last part of the question i.e difference he invested in growth option part? can u plz explain this sir
1) Mr.Rajagopalan buys 10000 units of debt oriented MF @ Rs 18.37 on 24/04/13 under dividend reinvestment option. The scheme gave a dividend of 20% and the record date was 30/4/13 and ex dividend nav of Rs 16.85.He sold original units @ Rs 16.61 on 21 oct 13.The purchase and repurchase prices of growth option on the same scheme were Rs 27.31 and Rs 28.13 on 24/4/13 and 21/oct/13.Calculate for 13-14 the nature of capital gains and difference he invested in growth option?
Solution:
Cost of Original 10000 Units = 10000*18.37 = 183700
Dividend Recd on 10000 Units @ 20% = 10000*2 = 20000
Sale of original units 10000 = 18.37-16.61 = 1.76 Loss/unit i.e 10000*1.76 =17600
This Short Term Capital loss can be adjusted with dividend recd of 20000 as per dividend stripping rules i.e 20000-17600 = 2400 (Short Term capital loss)
priya modi said
hey darshan is ur solution for this question is right..??? plz do let me knw soon…
Darshan said
Sir plz check my solution to the question and advice if it is correct
1) A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p.a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2014-15?
Solution:
Gratuity exmpt = 12500000*1/3 = 4166667
Now 12500000 – 416667 = 8333333 is available to buy annuity
Now 8333333*7.5% = 625000 is the income for the year
Deduct the maximum exemptions of 80C & 80D from 625000 i.e 625000-100000-20000(as he is a senior citizen) = 5,05,000
Tax on 5,05,000 = 26780 (including cess)
26780 is the tax liablity.
Darshan said
Prashant Sir,
Can u plz reply on the above questions my exam is on 24th Dec.
priya modi said
Hello sir & every1 . I am having my examz on this wednesday & m having sme queries wid regarding sme questions & thtz were asked in d exazmz before also. plz help me give d solutions for this. itz really imp.
(1) RCF is trading @ rs 50. it pays dividend of rs 3.5. dividend growth is projected @ 5% & required rate of return is 12%. find value of stock & ascertain whether it is undervalued or overvalued?
A. stock value rs 52.5/ undervalued
B. stock value rs 58.3/undervalued
c. stock value rs 38.3/ overvalued
D. stock value rs 45.2/ undervalued
(2)Mr.A purchased 1000 shares of an unlisted co @ rs 983 per share on 25 april 2007. The company allotted right shares @ rs 245 per share in ratio of 1 share for every 2 shares held by investors on 18 jan 2010 which was subscribed by Mr.A . The company got listed on 1 march 2013 and mr.a sold 1400 shares @ rs 1975 per share in offmarket transaction on 1 feb 2014. find the capital gains?
07-08: 551, 09-10: 632, 13-14: 939
(3) A house property in Kolkata having a municipal value of rs 5lac, fair rental= 6lac was intended to let out to tenants. Unfortunately during PY there was no tenant for this house property. Municipal tax is rs 5000 ( of which rs 1200 is payable) Int paid on loan taken for purchase of property is rs 179000. what is d incone from h/p ?
(a) loss of 153500
(b) income of 153500
(c) loss of 182500
(d) nill
(4) CD is a promissory note issued by banks & financial institutions this part of:-
(a) CLR only
(b) both CLR & SLR
(C) either CLR or SLR
(d) SLR on.ly
(5) Who is legal & beneficial owner of trust?
(a) trustor
(b) settlor/
(c) beneficiary
(6)Abhishek won a lottery & received rs 665000 after TDS. What was gross value of amt?
(a)950000
(b)938000
(c)980000
(d)995000
Please guys help me with these sums soon. i am having my examz on this Wednesday. itz really imp..
Darshan said
Hi Priya,
Can u answer my above 2 questions if u know their answers even my exam is on Wednesday. Plz help if u know the answer. I will try to get the answers for your questions.
dhwani said
4- both clr and slr
6- 665000*100/70= 9500000
5-settlor
i dnt knw the rest ans if uknw post it nd yea as m giving mah exam next week so plz help me nd post the question wen u done with yr exam
Darshan said
Hi Dhwani can u answer my above 2 questions if u know their answers it will be a great help from u.
Darshan said
Prashant Sir,
Plz try to solve my questions which I have posted above my exam is on wednesday
dhwani said
hi Darshan
In fpbs the whole sum is there jst the numbers are change for the 2 sums
nd ya the deduction for 80c nd 80d is 625000-1500000-150000 as per new slab
i dnt knw the soulution for 1st sum
Darshan said
Do u think my answer is right? And also dhwani deduction under 80 C is still 100000 and not 150000 fpsb is following old rules still.
priya modi said
thanku darshan & dhwani for giving d ans of my ques. Darshan i dnt knw the ans of ur ques. but whtz Dhwani said itz given in d fpsb paper the same ques. plz guys help me with d rest of the ans. yes Dhwani will post the ques as i m done with the examz
dhwani said
darshan
then yr ans is right..nd yea plz u both help me once u done with yr exam
Darshan said
Ya sure dhwani
priya modi said
yaa.. sure dhwani
bhawnapearl said
hi prashant sir,i appeared for my risk and insurance module yesterday and cleared it..all the credit goes to you and the people who have posted relevant practice questions here..thank you for the service you are doing.the practice test given under the insurance module covers important questions and also 5-7 questions appeared from the fpsb’s sample paper.2-3 questions of calculating the paid up value and surrender value were asked.i’ll be taking up RPEB next..would need your guidance throughout..could you share as many practice tests as possible and recommend any external resources if you know.I am on self study mode with extensive followup with your blog.
Darshan said
Hi Bhawna I am also preparing for Retirement Planning. I am also on self study mode. Will post some good material and info as when I get it. Even u can post some good info when get it.
bhawnapearl said
sure darshan..as soon as im able to get the relevant material i’ll share it here.Thanks for responding..as of now for the basic concepts i am referring to the textbook by tata mc grawhill..
Darshan said
Hi Prashant Sir,
I cleared Tax Planning module today. Thanks everyone for the help.
Prashant Shah said
Congratulations..
You may share some questions if you remember.
Regards.
dhwani said
darshan
plz post the question which u got in exam m giving mah exam next week so plz do help
priya modi said
hey darshan plz post the questions of tax plng even am appearing for the examz in next week for this module. i cleared my risk & insurance plng examz. thanks to every1 for the support. plz darshan help me out with tax plng.
Darshan said
Priya,
Plz concentrate on Trust, Residential Status, Capital Gains coz there were lot of questions on these.
Darshan said
Priya
Have u given retirement planning if yes can u share some questions from it. It will be a great help from u.
Darshan said
Following questions were there in the tax exam:
1)An industrialist started a project on 1st nov 2009 with own capital of rs 1crore. He arranged a project of rs 1.5crore by a back on 1st july 2009 at a rate of 12%p.a. the terms of finance were quarterly invested.only payments up to six quarter and the repayment of premium in three equal installments from the end of seven quarter along with interest on the loan outstanding.he infuced fresh own funds towards working capital of rs 20 lakh on 7th december 2009 and rs 30 lakh on 4th november 2010.the project completed with a profit of rs 4.5crore on 6th september 2012.find the return generated by the project…
a)22.59%p.a.
b)30.16%p.a.
c)30.57%p.a.
d)32.37%p.a.
2) A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p.a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2014-15?
I don know the answers of both the above questions.
There were questions from sample papers.
dhwani said
darshan
how to solve 1 sums plz u cn help me
priya modi said
hey darshan.. thanks for sharing d questions. yaa i cleared my retirement module but with old course not the new 1.. & i studied frm mandar & icpf bks only… & did sample papers of fpsb frm thier site. if u need any more help then let me knw..
darshan plz help me solve 1 question which u hve posted..
prashant sir plz help us solve this ques…
darshan can u just tell me the 2 ques which u hve posted & the solution u gave before is rght??
Darshan said
No the solution which I posted earlier is not right. I don know the answers of both. Priya can u remember any questions of retirement planning if yes plz post some questions here.
dhwani said
MR PARMAR NRI an age of 70 years.in this case the maximim income not chargeable to tax for ay 2012-13 ya 2014-15 .what is the answer
karthik said
Sir, where are the solutions for questions posted by Gautham above?
rahulmj08 said
Hi guys glad to inform you that i cleared RPEB,RAIP and Investment Module but i failed in tax planning module and again i’m reappearing for the same module.need your help and guidance to clear this exam especially on dividend stripping and Capital gain problems…where i struggled to solve..Kindly help me with these questions as per AY 2015-16
1) Your client, a businessman has a house worth Rs. 2.1 crore and a farm house worth Rs. 85 lakh. His business is worth Rs. 10 crore as per last balance sheet. His
wife is one of the partner in the business having stakes of 20% each and another partner 20. He has two cars purchased at Rs. 40 lakh and Rs. 20 lakh, the latter being in personal account. The cars
have depreciated/market value at Rs. 30 lakh and Rs. 8 lakh, respectively. His wife has stock worth Rs. 1.65 crore in a Demat account where she is the primary holder.
The business has taken Keyman’s insurance on his life of value Rs. 1.5 crore. He has himself insured his life for an assured sum of Rs. 1.5 crore. You evaluate your
client’s estate in case of any exigency with his life as _____
2) Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2015-16: 1024)
3) A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 Crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2015-16?
4)
A purchase 10000 units on 20/April/2013 for 18.2136 under the dividend reinvestment option record date is 24/April/2013
dividend declared on unit his ex-dividend NAV price 16.1250 he sale all his unit on 20/December/2013 for 17.6213 ,what is the capital gain on these transaction
5) An industrialist started a project on 1st Nov 2009 with own capital of rs 1crore. He arranged a project of rs 1.5crore by a back on 1st July 2009 at a rate of 12%p.a. the terms of finance were quarterly invested only payments up to six quarter and the repayment of premium in three equal installments from the end of seven quarter along with interest on the loan outstanding induced fresh own funds towards working capital of rs 20 lakh on 7th December 2009 and rs 30 lakh on 4th November 2010.the project completed with a profit of rs 4.5crore on 6th September 2012.find the return generated by the project…
a)22.59%p.a.
b)30.16%p.a.
c)30.57%p.a.
d)32.37%p.a.
6) Mr. A redeemed the entire units of a debt oriented Mutual Fund on 31st December 2013 at Rs. 22.16 per unit. He originally purchased 3,500 units at a price of Rs. 17.47 per unit under dividend reinvestment option on 4th December 2010. He received dividends of 20%, 18%, 17% in this period on his outstanding units which were reinvested respectively at NAVs of Rs. 19.43, Rs. 20.91, Rs. 22.61 in the month of November in the years 2011 to 2013. What is the tax treatment of these transactions for AY2015-16. (Cost inflation index for 2010-11: 711; 2011-12: 785; 2012-13: 852; 2015-16 :1024)
karthik said
I am able to solve almost all the problems mentioned in this blog,
I gave Tax Planning exam today and Flunked..
Even I got the same questions mentioned by Rahul ^ 1,2,4,5,6
how to clear the exam, can you people help me…??
rahulmj08 said
hI karthik can you solve the above mentioned question please…? because this questions are very important and it will help us to clear Module, concentrate more on section2, section4 and 5 theortical questions so that we can pull this off
karthik said
Hi Rahul, even I have doubt with the same questions and we should concentrate on section 3 tooo along with 2,4 as these 3 sec covers problems of 68m frm d module & a Total of 116m & sec 5 covers only 15m
karthik said
and as u said about theory, it covers 38m frm dat 3 secs but i dont have much material…
Prashant Shah said
Hi Rahul.
I will publish solution of these questions soon.
rahulmj08 said
@karthik Agree with you karthik but i’m frustrated that we don’t have proper study material to practice problems especially dividend stripping problems…need to find solutions for above mentioned problems then only we can get through and coming to theory fpa books are better…
karthik said
Prashanth sir please help us in solving those above problems.
@Rahul: yeah FPSB must provide proper study material according to the syllabus, just giving sample papers is not enough, If u have any material please forward.
rahulmj08 said
i don’t have standardized materials but i would recommend you to buy fpa books or CA books
karthik said
Im using Direct Taxes by Vinod singhania.
rahulmj08 said
Prashant sir kindly help us to solve above mentioned problems…?
karthik said
@rahul: some of the question were discussed above in d comments too check it out…
now we need solutions for 2,3 n 5th probs..
rahulmj08 said
okay karthik i’ll try to solve those questions…have you cleared other modules?
karthik said
I have done with RAIP n RPEB, thought to give IP after TPEP
rahulmj08 said
@karthick all the best for remaining module…can u able to solve 1probz?
karthik said
Thanq 🙂
do u mean 1st prob frm d above qstns?
rahulmj08 said
Hi karthick did u solved those questions which i posted…..
rahulmj08 said
1) A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 Crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2015-16?
2) An industrialist started a project on 1st Nov 2009 with own capital of rs 1crore. He arranged a project of rs 1.5crore by a back on 1st July 2009 at a rate of 12%p.a. the terms of finance were quarterly invested only payments up to six quarter and the repayment of premium in three equal installments from the end of seven quarter along with interest on the loan outstanding induced fresh own funds towards working capital of rs 20 lakh on 7th December 2009 and rs 30 lakh on 4th November 2010.the project completed with a profit of rs 4.5crore on 6th September 2012.find the return generated by the project…
a)22.59%p.a.
b)30.16%p.a.
c)30.57%p.a.
d)32.37%p.a.
2) Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2014-2015: 932)
prashant sir kindly help me to solve above mentioned questions…i have exam on 10th feb…waiting for your response from last 30 days
roopa said
Dear Rahul,
How you have solved question no 2.
2) An industrialist started a project on 1st Nov 2009 with own capital of rs 1crore. He arranged a project of rs 1.5crore by a back on 1st July 2009 at a rate of 12%p.a. the terms of finance were quarterly invested only payments up to six quarter and the repayment of premium in three equal installments from the end of seven quarter along with interest on the loan outstanding induced fresh own funds towards working capital of rs 20 lakh on 7th December 2009 and rs 30 lakh on 4th November 2010.the project completed with a profit of rs 4.5crore on 6th September 2012.find the return generated by the project…
a)22.59%p.a.
b)30.16%p.a.
c)30.57%p.a.
d)32.37%p.a.
Please share which was the recent questions in TPEP exam.
rahulmj08 said
1) A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 Crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2015-16?
2)2) Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2014-2015: 932)
3) Mr. A redeemed the entire units of a debt oriented Mutual Fund on 31st December 2013 at Rs. 22.16 per unit. He originally purchased 3,500 units at a price of Rs. 17.47 per unit under dividend reinvestment option on 4th December 2010. He received dividends of 20%, 18%, 17% in this period on his outstanding units which were reinvested respectively at NAVs of Rs. 19.43, Rs. 20.91, Rs. 22.61 in the month of November in the years 2011 to 2013. What is the tax treatment of these transactions for AY2015-16. (Cost inflation index for 2010-11: 711; 2011-12: 785; 2012-13: 852; 2015-16 :1024)
4)HRA question
5)rent free accommodation problem
6) Your client, a businessman has a house worth Rs. 2.1 crore and a farm house worth Rs. 85 lakh. His business is worth Rs. 10 crore as per last balance sheet. His
He and his wife is one of the partner in the business having stakes of 20% each . He has two cars purchased at Rs. 40 lakh and Rs. 20 lakh, the latter being in personal account. The cars
have depreciated/market value at Rs. 30 lakh and Rs. 8 lakh, respectively. His wife has stock worth Rs. 1.65 crore in a Demat account where she is the primary holder.
The business has taken Keyman’s insurance on his life of value Rs. 1.5 crore. He has himself insured his life for an assured sum of Rs. 1.5 crore. You evaluate your
client’s estate in case of any exigency with his life as _____
7)Captail Gain Problems including section 54, 54d, 54ec and 54f
8)Partner ship firm problem as per section 44AD
X and co (a firm of X and Y with unlimited Liablity)is engaged in the business of manufacturing(turnover of 2013-14 being Rs 8780000)it wants to claim the following deduction-
Salary and interest to partners( as permitted by section 40(b) Rs 60000
Salary to employees Rs 4900000
Depreciation Rs 270000
Cost of material Used Rs 7590000
other expenses Rs 3450000
Total 8755000
Net profit(8780000 minus Rs 8755000) 25000
Determine the net income of X and Co for the assessement year 2014-15 asssuming that long term capital gain is rs 40000 and the firm is elgible for deductions of rs 5000 under section 80G. The firm has a brought forward loss of rs 240000(Previous year 2010-11)of a trading which has been discontinued
Ans: Hint
Other expenses {except salary/interest to partners in the case of a firm, no other expenditure is deductible}
9)Agriculture income
10) Practice Fpsb problems including Tvm problems
11) Carry forward and set off
12)TDS rates
13)penalities
14) Eligibility for E filing
15) Dividend stripping
These are the imp questions came for the exam…and cleared TPEP exam after 2 attempts
rahulmj08 said
@sorry roopa i don’t have solution for that question..but u can solve the above mentioned problems which came for the exam
shreya said
Hi roopa,
anyone having and of q2 (industrialist) as this q came in my IP paper too.
Jasbir singh said
Here are couple of the sum that i solved.
Ans 2
983000 25-April-07 1000*983 =98300*(932/551)=1662715.064 COA
98000 18-Jan-10 400*245 =98000*(932/632)=180648.7342 COA
1-Feb-14 1400*1975=2765000
2765000-(1662715.064+180648.7342)=957765.9491 Capital Gains
ANS 3 Cost COA
4-Dec-10 17.47 3,500 61145 80752.67932
1-Nov-11 19.43 360.2676274 7000
1-Nov-12 20.91 332.3042434 6948.481729
1-Nov-13 22.16 321.6323186 7127.37218
31-Dec-13 22.61 *4507.802838=101921.4222
101921.422-80752.67932= 21168.74285 Total Capital Gains
For Taxability liability
We should calculate the gains on investments done within last 12 months.
thus from Jan 13 any investment done will be considered for short term capital gain tax
321.6323186 Units were purchased at 22.16 and sold at 22.61
22.61-22.16=.45
=0.45*321.6323186=144.734 Short term tax
will reply other questions by this night…
Jasbir singh said
144.734 Short term gain tax will be 15% of this
roopa said
Rahulmjo8, Thanks a zillion.Best of Luck!!! of final module.
cfp said
Hi
I am planning to write tax planning in may-2015, can I follow 2015-16 tax slab for solving problems. Please suggest.
Prashant Shah said
Dear,
You have to follow tax rules for FY 2014-15 i.e. AY 2015-16.
Regards,
Prashant
Cfp said
Hi Prashant,
Thank you so much for timely reply and this website really helpful for CFP students, great initiation and support . I will follow AY 2015-16 tax rules in my exam.
Cfp said
Hi Prashant,
I have Tax & Estate Planning- Mandar book which Is two years old(2013-14), please tell me what are major changes for the year 2015-16. I have Tax planning exam in one week. Kindly reply.
Prashant Shah said
Hi. That’s really tough. Better idea is to arrange a fresh book.
Regards.
Anil jain said
Dear sir,
please give me the question on ” taxation on financial products , trust and estate planning”
Cfp said
Hi,
please conform the below points to use in exam
80c-1.5Lpa
80d-25000(below 60 age)30,000(above 60)
80DDB-40000(below 60 age)60,000(above 60),80000(above80)
80DD-75000(person with disability),100000(severe disability)
80U-75000(person with disability),125000(severe disability)
surcharge-10% for individuals,huf,5%for company,2% for other than domestic company-Income above 1 cr
Wealth tax-1% on above net wealth 30L
Also suggest if any modifications
Mohammed Arief said
Hai sir,
please tell me that which books are advisable for all modules of cfp
Prashant Shah said
Hi,
Suggest your location.
Regards,
Prashant.
abc said
I want to know for tax planning Applicable tax rate would be 14% (as per new finance bill w.e.f 01/06/2015) or 12.36%.
Prashant Shah said
Hi.
14% is service tax and we rarely have question on indirect taxes. However if it comes consider 12.36%.
Regards,
Prashant.
ajay sharma said
5) An industrialist started a project on 1st Nov 2009 with own capital of rs 1crore. He arranged a project of rs 1.5crore by a back on 1st July 2009 at a rate of 12%p.a. the terms of finance were quarterly invested only payments up to six quarter and the repayment of premium in three equal installments from the end of seven quarter along with interest on the loan outstanding induced fresh own funds towards working capital of rs 20 lakh on 7th December 2009 and rs 30 lakh on 4th November 2010.the project completed with a profit of rs 4.5crore on 6th September 2012.find the return generated by the project…
a)22.59%p.a.
b)30.16%p.a.
c)30.57%p.a.
d)32.37%p.a.
Prashant Shah said
Dear Ajay,
This is probably the one which has some critical information missing. This question is common in insurance planning but unfortunately I don’t have solution of the same.
Regrets,
Prashant.
karthik said
Sir, Ive got this Question in Investment Planning too, so its better to find the Answer.
abc said
Has anybody calculated answer for this question:
From the following calculate income from house property of Mr Ram who owns a property consisting of three parts with separation as follows.Part 1-40%, Part 2-30%, Part 3-30%. Part 1 is self-occupied and the other two parts are let out at a monthly rent of 5,000 and 4,000.
MV of the property = 1,00,000
FRV of property = 1,20,000
SR of property = 1,10,000
Unit 3 was vacant for two months and one month rent could not be realized. 10% Municipal Tax is to be charged. Interest on borrowed capital comes to % 50,000 for the property. The loan was taken during 1998
ajay sharma said
23500 or 17900
ajay sharma said
Question:Abc
Answear: 23500 0r 17900
ABC said
Please can anyone help me with solutions for below mentioned problems.
Mr. R acquires a house on 10 Oct 1974 for Rs 10 lacs. Paid 10k for registration. He spent Rs 50k on 15/03/1980 and Rs 80k on 15/6/99 for improvement of the house. He sold the house on 25 oct 2011 for Rs 25 lacs and paid brokerage of 2% on sale price. Calculate capital gains for 12-13.Assume fair mkt value on 1/4/1981 as Rs 2lacs.CII 81-82 100, 99-00 389, 11-12 785
Mrs. X sold 2Kg of gold at Rs 47 lacs on 28/04/11 which she purchased in 2007.Cost of acquisition was Rs 26.38 lacs.She purchased a new house on 13 may 2011.Compute capital gains exempt under sec 54F for 12-13.
a) 3lacs
b) 23.62lacs
c) 0
d) 20.62lacs
Mr. Prabhakar age 38 and Mrs. Prabhakar age 35 both are working and earning yearly salary of Rs 7.5lacs and Rs 4.5lacs respectively.MrPrabhakar gifts his wife Rs 10lacs from his savings on 1/4/11.Mrs Prabhakar deposits the same in bank @ 9% pan interest. An FD of Rs 50k @8.5% pa is also held in the name of minor son of Mr.Prabhakar which is gifted by his grandfather on 1/4/11.further Mr. and Mrs. Prabhakar have deposited Rs 1 lac and Rs 80k respectively in their PPF accounts in 11-12.What is their individual tax liabilities for 12-13?
a) Mr. Prabhakar Rs 64740 , Mrs. Prabhakar Rs 27810
b) Mr. Prabhakar Rs 82970 , Mrs. Prabhakar Rs 18540
c) Mr. Prabhakar Rs 64430 , Mrs. Prabhakar Rs 27810
d) Mr. Prabhakar Rs 83280 , Mrs. Prabhakar Rs 18540
What id correct answer for Mr. Prabhakar Question.
ajay sharma said
(A) Mr: Prabhakar:64740 and Mrs: Prabhkar: 27810
rahul2008mohan said
Hello Everyone,
Implanning to attempt taxplanning next month valuable suggestions/Questions required
chirag lotia said
rahulmj08 sir can you please help me out with the solutions of the problems mentioned above beacuse i am frustated i will giving tax planning for the third time or any material you have please send.
ABS said
Hello,
Has anyone found out questions posted by Jyoti, Please provide answers for same as early you can, plaese……..
1) How mutual will different from joint will ?
2) testamentry sucssession act is ?
3) who can execute the power of attorney ?
4)A HUF constitute a father widow with three sons and one daughter what is the part of share of daughter .
5) what is the provision of trust deed ?
6) who is legal and benificial owner of trust ?
7) what is status of trustee for taxation purpose ?
8) CBDT formulating by which entity
a) income tax act 1961
b) finice act
9) CD is promisory note issued by banks and finiciaal instutions this part of
a) CLR only
b) both CLR and SLR
c) either SLR or CLR
d) SLR only
10) what whould be the residential status one has foriegn business income partialy controled from India ?
11) In which circumtances a non resident wwhich is wworking out side india his salary is taxable in india?
12) a wife traansfer a bond to his husband the income from such bond taxable in which hand ?
13) what is provision of DTAA ?
14 ) a person taking hoam loan for his SOP property on 1/april/2013 how much deduction he can take under income from house property
15) a person taken hoam loan and educaation loan ,he paid 30000 as principal 13000 as interest aganist hoam loan and 18000 as principal and 8000 as interest against education loan ,what whould be deduction u/s 80C and 80 E ?
16) an assesse lives his parent from 1/auguest/2013 he takes a rent accommodation for this he is paying 10000 pm his basic salary is 240000 and HRA received by him 2500 pm ,wwhat is his taxable HRA
ABS said
Also want help to solve various questions given in comment no. 140 & 145.
Prashant Sir, please help us to get solutions for this questions
ABS said
Can Anyone provide me Answer for below mentioned questions:
1) A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 Crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2015-16?
2)2) Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2014-2015: 932)
3) Mr. A redeemed the entire units of a debt oriented Mutual Fund on 31st December 2013 at Rs. 22.16 per unit. He originally purchased 3,500 units at a price of Rs. 17.47 per unit under dividend reinvestment option on 4th December 2010. He received dividends of 20%, 18%, 17% in this period on his outstanding units which were reinvested respectively at NAVs of Rs. 19.43, Rs. 20.91, Rs. 22.61 in the month of November in the years 2011 to 2013. What is the tax treatment of these transactions for AY2015-16. (Cost inflation index for 2010-11: 711; 2011-12: 785; 2012-13: 852; 2015-16 :1024)
karishmadalal said
Please can someone help with the answers of the questions given above?
Roma said
Dear Prashant Sir,
I have exam of Tax planning & Estate planning on 22nd Dec so kindly share the answer for the above mentioned questions as it would be helpful for me.
Also if you have more important questions related to this subject, kindly share the same.
chirag lotia said
mine also on 22nd dec sir please provide the solutions for these question soon sir
Hans Punjabi said
. . your client age 40 has a self occupied and 2nd house with combine market value of rs. 1.20 cr . combined outstanding loan on properties is 65 lacs. he also has invested rs 40 lacs, bullion worth rs 4.5lacs, tax saving fd @ 10% of rs. 1.5lacs maturing 2 yrs frm nw and saving account balance of rs 40000. endowment policy of sum assured rs 5 lacs with bonus 1.75 lacs and term cover is 15 lacs. he has employee benefits currently value rs. 39 lacs in exigency life. you estimate value is : 10140000, 15574650,16264650,22746500
7. trust is created for benefit of relatives of venture capital shares of 4 beneficiaries are 40% , 25%,20%,15%. while they are assessable respectively in tax slab on 10% 20% 20% 30%. beneficiary in 10% tax slab has income from trust only. tax on 2nd beneficiary is 20% braqcket exceeds previous slab by 80000 pursunant to receiving income from trust. total income is 8.5lacs to be distributed among year. what would be tax payable by trustee on account of trust in that year: 123750,75000,148750,114750.
please help
khyati said
Hey ,
Can you please help me out with the solutions of the above questions.
chitra355 said
i need questions for tax planning and estate planning questions and solutions with objectives..i have exam on coming monday so plz forward it to me by mail sooner. thanx…
Prashant Shah said
Dear Chitra,
I don’t have any further questions available for tax planning.
Regards,
Prashant.
chitra355 said
CAn u mail me this questions which were discussed by students with proper solutions so that i dnt need to find them up and down and get them at one place
chitra355 said
Sir , can u share some questions that are likely to come for AFP module ?
Roma said
Dear Sir,
I have an exam in next month so can u mail me solutions of the above questions which were discussed by the students and also important question answers of estate planning.
Regards
Roma
srivatsav said
dear sir,
Q. trust is created for benefit of relatives of venture capital shares of 4 beneficiaries are 40% , 25%,20%,15%. while they are assessable respectively in tax slab on 10% 20% 20% 30%. beneficiary in 10% tax slab has income from trust only. tax on 2nd beneficiary is 20% braqcket exceeds previous slab by 80000 pursunant to receiving income from trust. total income is 8.5lacs to be distributed among year. what would be tax payable by trustee on account of trust in that year: 123750,75000,148750,114750.
please help with solution
jaspreet singh thukral said
Dear sir,
I have an exam of tax planning and i have recently given the exam but the pattern has changed completely in questions, Kindly mail few questions which are coming according to the new pattern for practice. And there was also a question related to
Q. Mr. Arun invested rs 80000 in debt oriented mutual fund on 31st December 2014 at Rs 15.21 per unit in the year 2011-2015 under dividend reinvestment option . He received dividend 18 % in 2012 and 20% in 2014 on his outstanding units which were reinvested at NAV of Rs. 17.16, and Rs. 19.10, at the last business day of 1st December. Compute the taxable Income for this transaction i f he sold the units in December 2015 at rs 22.15.
Q. Business and profession question on agriculture income ,in which assesse was having income from crop grown in Nepal(70000) and income from crop grown in India (60000).also in addition to that assessee was getting income as share of profit and interest on capital from partnership firm engaged in agriculture production. Further assessee also has a loss (100000) from sale of tea leaves in the same previous year.
Q. Section 44AD question in which carry forward loss and unabsorbed depreciation of last year was given in addition to depreciation ,bad debts, salary of employees and salary of partners for current year.(This type of question was there but i was unable to solve the question, kindly help).
Q. Capital gain question in which assessee sold agriculture land within urban limit which he purchased 5-6 years back. and then purchased another coffee farm 20 km away from urban limit. Further he sold the coffee farm in previous year. We have to calculate capital gain on both transactions.
Q. Who makes the income tax slab rates?
Kindly help with the these questions and if there are some more questions which you can help with for the reference as i am studying on my own and i have an re exam in april. So need your help. Kindly revert shortly for the same.
Thank you
Prashant Shah said
Dear Jaspreet,
My students are my resource for any updates. And I can not have any access to any important questions nor the pattern of FPSB. I am as independent as you. However my role is to guide all the people who are pursuing this program. I presume that these have been the questions which were there in your exam and will try to get all the answers for you.
Best wishes,
Prashant.
jaspreet singh thukral said
thank you sir
If you can mail me the answers of the above questions on my email id as soon as possible so that i can get some help in my exam.
manikanta said
jaspreet singh sir please provide solution for q1 from above said questions
jaspreet singh thukral said
can someone mail me few important questions for tax planning i have an exam on 19 april.
bhargavkrishna said
can you share the important questions you attended the exams i have an exam on may 5th.
do you know the solutions of the above questions mail me
Prashant Shah said
Dear Jaspreet,
There are no important question for tax. It seems like FPSB has changes kind of questions in Tax. I am also trying to collect questions from the students those who have given it. I will surely share those if they come to me.
Regards,
Prashant.
Mohan said
Hello Friends
Can some one come up with solutions for the below mentioned questions who ever cleared please help me please let me
Thanks in advance
1.Q. trust is created for benefit of relatives of venture capital shares of 4 beneficiaries are 40% , 25%,20%,15%. while they are assessable respectively in tax slab on 10% 20% 20% 30%. beneficiary in 10% tax slab has income from trust only. tax on 2nd beneficiary is 20% braqcket exceeds previous slab by 80000 pursunant to receiving income from trust. total income is 8.5lacs to be distributed among year. what would be tax payable by trustee on account of trust in that year: 123750,75000,148750,114750.
2.your client age 40 has a self occupied and 2nd house with combine market value of rs. 1.20 cr .combined outstanding loan on properties is 65 lacs. he also has invested rs 40 lacs, bullion worth rs 4.5lacs, tax saving fd @ 10% of rs. 1.5lacs maturing 2 yrsfrmnw and saving account balance of rs 40000. endowment policy of sum assured rs 5 lacs with bonus 1.75 lacs and term cover is 15 lacs. he has employee benefits currently value rs. 39 lacs in exigency life. you estimate value is : 10140000, 15574650,16264650,22746500
3.A management college professor retired from her service on 1st March 2013 at the age of 60 years. She had accumulated a balance of Rs. 1.25 Crore in her retirement account. She also received gratuity from the college under the Payment of Gratuity Act. She commuted the tax exempt value of her retirement fund. The rest of the amount was utilized by her college to buy her a 25-year fixed annuity deferred by a year and paid annually thereafter. If the effective yield from such annuity product were 7.5% p a., and she is willing to save the maximum permissible amounts under Section 80C and 80D, what tax liability do you estimate for her for AY2015-16?
4.Mr. A purchased 1,000 shares of an unlisted company at Rs. 983 per share on 25th April 2007. The company allotted rights shares at Rs. 245 per share in the ratio of 1 share for every 2 shares held by investors on 18th January 2010 which was subscribed by Mr. A. The company got listed on 1st March 2013 and Mr. A sold 1,400 shares at Rs. 1,975 per share in off-market transaction on 1st February 2014. Find the capital gains in the transaction. (Cost Inflation Index for FY 2007-08: 551; 2009-10: 632 and 2014-2015: 932)
5.Mr. A redeemed the entire units of a debt oriented Mutual Fund on 31st December 2013 at Rs. 22.16 per unit. He originally purchased 3,500 units at a price of Rs. 17.47 per unit under dividend reinvestment option on 4th December 2010. He received dividends of 20%, 18%, 17% in this period on his outstanding units which were reinvested respectively at NAVs of Rs. 19.43, Rs. 20.91, Rs. 22.61 in the month of November in the years 2011 to 2013. What is the tax treatment of these transactions for AY2015-16. (Cost inflation index for 2010-11: 711; 2011-12: 785; 2012-13: 852; 2015-16 :1024)
6.a person taking hoam loan for his SOP property on 1/april/2013 how much deduction he can take under income from house property
7.a person taken hoam loan and educaation loan ,he paid 30000 as principal 13000 as interest aganisthoam loan and 18000 as principal and 8000 as interest against education loan ,what whould be deduction u/s 80C and 80 E ?
8.anassesse lives his parent from 1/auguest/2013 he takes a rent accommodation for this he is paying 10000 pm his basic salary is 240000 and HRA received by him 2500 pm ,wwhat is his taxable HRA
9.Mr. R acquires a house on 10 Oct 1974 for Rs 10 lacs. Paid 10k for registration. He spent Rs 50k on 15/03/1980 and Rs 80k on 15/6/99 for improvement of the house. He sold the house on 25 oct 2011 for Rs 25 lacs and paid brokerage of 2% on sale price. Calculate capital gains for 12-13.Assume fair mkt value on 1/4/1981 as Rs 2lacs.CII 81-82 100, 99-00 389, 11-12 785
10.Mrs. X sold 2Kg of gold at Rs 47 lacs on 28/04/11 which she purchased in 2007.Cost of acquisition was Rs 26.38 lacs.She purchased a new house on 13 may 2011.Compute capital gains exempt under sec 54F for 12-13.
a) 3lacs
b) 23.62lacs
c) 0
d) 20.62lacs
11.Mr. Prabhakar age 38 and Mrs. Prabhakar age 35 both are working and earning yearly salary of Rs 7.5lacs and Rs 4.5lacs respectively.MrPrabhakar gifts his wife Rs 10lacs from his savings on 1/4/11.Mrs Prabhakar deposits the same in bank @ 9% pan interest. An FD of Rs 50k @8.5% pa is also held in the name of minor son of Mr.Prabhakar which is gifted by his grandfather on 1/4/11.further Mr. and Mrs. Prabhakar have deposited Rs 1 lac and Rs 80k respectively in their PPF accounts in 11-12.What is their individual tax liabilities for 12-13?
a) Mr. PrabhakarRs 64740 , Mrs. PrabhakarRs 27810
b) Mr. PrabhakarRs 82970 , Mrs. PrabhakarRs 18540
c) Mr. PrabhakarRs 64430 , Mrs. PrabhakarRs 27810
d) Mr. PrabhakarRs 83280 , Mrs. PrabhakarRs 18540
12.Your client, a businessman has a house worth Rs. 2.1 crore and a farm house worth Rs. 85 lakh. His business is worth Rs. 10 crore as per last balance sheet. His
He and his wife is one of the partner in the business having stakes of 20% each . He has two cars purchased at Rs. 40 lakh and Rs. 20 lakh, the latter being in personal account. The cars
have depreciated/market value at Rs. 30 lakh and Rs. 8 lakh, respectively. His wife has stock worth Rs. 1.65 crore in a Demat account where she is the primary holder.
The business has taken Keyman’s insurance on his life of value Rs. 1.5 crore. He has himself insured his life for an assured sum of Rs. 1.5 crore. You evaluate your
client’s estate in case of any exigency with his life as _____
13) RCF is trading @ rs 50. it pays dividend of rs 3.5. dividend growth is projected @ 5% & required rate of return is 12%. find value of stock & ascertain whether it is undervalued or overvalued?
A. stock value rs 52.5/ undervalued
B. stock value rs 58.3/undervalued
c. stock value rs 38.3/ overvalued
D. stock value rs 45.2/ undervalued
14) A house property in Kolkata having a municipal value of rs 5lac, fair rental= 6lac was intended to let out to tenants. Unfortunately during PY there was no tenant for this house property. Municipal tax is rs 5000 ( of which rs 1200 is payable) Int paid on loan taken for purchase of property is rs 179000. what is d incone from h/p ?
(a) loss of 153500
(b) income of 153500
(c) loss of 182500
(d) nill
15.Mr.Rajagopalan buys 10000 units of debt oriented MF @ Rs 18.37 on 24/04/13 under dividend reinvestment option. The scheme gave a dividend of 20% and the record date was 30/4/13 and ex dividend nav of Rs 16.85.He sold original units @ Rs 16.61 on 21 oct 13.The purchase and repurchase prices of growth option on the same scheme were Rs 27.31 and Rs 28.13 on 24/4/13 and 21/oct/13.Calculate for 13-14 the nature of capital gains and difference he invested in growth option?
16)Mrs. X sold 2Kg of gold at Rs 47 lacs on 28/04/11 which she purchased in 2007.Cost of acquisition was Rs 26.38 lacs.She purchased a new house on 13 may 2011.Compute capital gains exempt under sec 54F for 12-13.
a) 3lacs
b) 23.62lacs
c) 0
d) 20.62lacs
What was the cost of new house?
17.The average inflation over the last three years is 5.5 % p.a. You invested Rs. 4 lakh in a security 8 years ago which you have redeemed for Rs. 8 lakh. What real return have you obtained from investment?
18.Pramod redeemed entire units of debt oriented mutual fund on 31 December 2011 at Rs 22.16. He originally purchased 3500 units at Rs 18.27 during 2007-08 .He received dividends of 18% 20% 18% 17% in this period. He reinvested the same by Rs 19.15, Rs 20.06, Rs 21.11, Rs 21.81 at last […]
19.your client age 40 has a self occupied and 2nd house with combine market value of rs. 1.20 cr .combined outstanding loan on properties is 65 lacs. he also has invested rs 40 lacs, bullion worth rs 4.5lacs, tax saving fd @ 10% of rs. 1.5lacs maturing 2 yrsfrmnw and saving account balance of rs 40000. endowment policy of sum assured rs 5 lacs with bonus 1.75 lacs and term cover is 15 lacs. he has employee benefits currently value rs. 39 lacs in exigency life. you estimate value is : 10140000, 15574650,16264650,22746500
20.a person taken hoam loan and educaation loan ,he paid 30000 as principal 13000 as interest aganisthoam loan and 18000 as principal and 8000 as interest against education loan ,what whould be deduction u/s 80C and 80 E ?
neetu bajwa said
hello sir,
Can you tell me about repeated questions in TPEP exam.My exam date is 10 of june 2016 .If anybody tell me about repeated questions which is repeated in the above mention exam then it will great help of me and i will be very thankful.
rahul2008mohan said
Hello Neetu,
The above mentioned questions are quite tricky but we can expect some questions with the same pattern in the exam
Im trying to solve those but we dont have answers to cross check.
Let me know if you are also trying the same.
rahul2008mohan said
Hello Friends,
My exam is on coming month can any help me with the solutions of above posted questions.
Thanks in advance
Looking for an early reply
rahul2008mohan said
Hello,
can any one help me in solving the questions with solutions.
Thanks in advance
priya shetty said
hello prashant sir,
i am preparing for my tax module exam..
can u please provide a latest imp notes regarding taxation module.
thank you
priya shetty.
Prashant Shah said
Dear Priya,
As you know that, this is the interactive website, hence you are expected to solve and ask for solutions of the questions you know or don’t know.
As there is no free lunch, you should not expect anyone to send you all the relevant text with solved questions.
Regards and happy learning,
Prashant.
chaitanya said
sir i have doubt please clarify it
NRI sold his land which is situated in chennai to another NRI the transfer happened in the US Currency in the outside India the following is taxable or not
According to me it is taxable and please let me know your opinion in this
thank you
Prashant Shah said
Any income which accrues or arises in India is taxable in India.
chaitanya said
sir one more doubt
the tv show which is telecasting in india a news the NRI used this show and converted it into for telecasting in foreign ……he is liable to pay tax …….because news or entertainment will be taxable or exempted form this tax please clarify it sir ….this question were asked in the exam recently
Prashant Shah said
Can u please rewrite this question in clear language.
chaitanya said
thank you sir for your valuable reply
sir i don’t remember that question properly but ………..i can post here once again
the tv shows which is running in India the NRI converts into discs and making promotion in USA he is liable to pay tax or not ….becaz tv channel which he is converting in India is v
voluntary trust and belongs to government
Chaitanya said
Hi sir h r u..? Sir I cleared today TPEP n tkqqqq a lot sir for this site it helped me a loot to clear my exam and by solving above questions….. same similar questions were asked in the exam n tqs to writers on this blog also
Chaitanya said
Sir I cleared 4 modules left final one sir please suggest me to clear the exam
Rahul T said
Dear Prashanth,
I need your help on TPEP. I have my exam in the month of april.
Request you to share if you have any latest sample questions. Would be very helpful.
Thanks in advance
Rashmi said
Dear Prashant Sir,
I have cleared IP Module with B grade. thank you sir.
Now i am going to give Tax Module. Please guide me with new amendments regarding Taxation which will apply from 1st April, 2017.
Kindly Provide more questions & Solutions with new amendments applying for taxation exam now onward. examples will help for such confusions..
Nanda gopal said
6) Your client, a businessman has a house worth Rs. 2.1 crore and a farm house worth Rs. 85 lakh. His business is worth Rs. 10 crore as per last balance sheet. His
He and his wife is one of the partner in the business having stakes of 20% each . He has two cars purchased at Rs. 40 lakh and Rs. 20 lakh, the latter being in personal account. The cars
have depreciated/market value at Rs. 30 lakh and Rs. 8 lakh, respectively. His wife has stock worth Rs. 1.65 crore in a Demat account where she is the primary holder.
The business has taken Keyman’s insurance on his life of value Rs. 1.5 crore. He has himself insured his life for an assured sum of Rs. 1.5 crore. You evaluate your
client’s estate in case of any exigency with his life as _____
Please provide solution for this problem.I have got this in exam
Prashant Shah said
Dear Nandagopal
Same question is present in FPSB sample paper. Pls refer the same
Regards.
Nanda Gopal said
Thanks for the prompt reply sir,
My doubt is that whether his wife’s income will be included in his persona income or not.In Sample paper he has stake of 52% and also he was the primary holder of his Demat account. Plzzz, Clarify sir…
M Nanda Gopal said
Anybody please provide questions………………..
isha said
Sir
This will be my third attempt for Tax planning & estate planning please help me out