12.04.2004
1.00 - 4.00
LOYOLA COLLEGE (AUTONOMOUS), CHENNAI –600 034
M.Com, DEGREE EXAMINATION - COMMERCE
FOURTH SEMESTER – APRIL 2004
CO 4954/C 1055 - OTHER DIRECT TAXES
Max:100 marks
SECTION - A
(10  2 = 20 marks)
Answer ALL questions
1. Define the term 'NET WEALTH'.
2. What is valuation Date under Wealth Tax Act?
3. What is the time limit for the Assessment of Escaped Wealth?
4. What do you mean by Concealment of Wealth?
5. What is appropriate state under Central Sales-Tax Act?
6. Define the term 'DECLARED GOODS'.
7. Who is a Casual Trader?
8. What do you mean by Subsequent Sale?
9. What is Voluntary Registration under C.S.T. Act?
10. What are the objects of enacting the Central Sales-Tax Act?
SECTION - B
Answer any FIVE questions
(5  8 = 40 marks)
11. Explain the term ASSETS under Wealth Tax Act.
12. An Indian Company has the following assets and liabilities on the valuation date:
(Rs. in lakh)
i) Business premises occupied for own business
40
ii) Guest House
15
iii) Residential house for employees
25
(The gross annual salary of each employee is
less than Rs.5 lakhs)
iv) Residential house for whole time director
8
(The gross annual salary of the director is
6 lakhs)
v) Cars for the use of officers of the Company
10
vi) Cars - stock in - trade
30
vii) Bank balance
8
viii) Cash in hand (Recorded in the books)
2
ix) Loan taken for construction of guest house
5
x) Loan taken for construction of residential houses for
employees
10
Compute the Net wealth of the company.
;
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13. From the following information compute the Taxable turnover of a dealer under the
C.S.T. Act:
i) Gross amount received or receivable by the
Rs.
dealer during the quarter (excluding Sales Tax)
8,00,000
ii) Sale of goods out side the state
50,000
iii) Sale of goods in course of export outside India
1,50,000
iv) Sale of goods with in the state
1,00,000
v) Cost of freight & installation charged separately but
included in the Turn over (in case of inter-state)
5,000
vi) Subsequent sale in the course of inter-state Trade
1,95,000
14. Mr. X is the owner of a house which is constructed on lease hold land. He has let out this
house to a tenant for Rs.10,500 p.m. The other terms are as under:
i)
The tenant will pay the municipal taxes 50% and bear the cost of repair.
ii)
He will pay Rs.1,00,000 as advance on which no interest will be paid to him
and this amount will be refunded at the time of vacating the house.
iii)
He will pay Rs.60,000 as premium for leasing the property for fine years.
The annual value assessed by the local authority is Rs.1,80,000 and taxes levied Rs.24,000.
The tenant spent Rs.20,000 on the repairs of the house.
The difference between the unbuilt area and specified area is 12% of the aggregate Area.
Find out the value of the house for Wealth Tax purposes, if the cost of the building
(including land) in 1980 was 12,00,000.
He paid Rs.1,20,000 for the acquisition of the land but now the lessor's value of the
land is Rs.6,00,000. The lessor charges 50% of the unearned increase on the transfer
of a house. The unexposed period of lease is 60 years.
15. When does a sale or purchase of goods is said to taken place in the course of import or
export? Explain.
16. Define the term 'Dealer'. Explain the procedure for Registration of Dealer under TNGST
Act.
17. Discuss the Liability to Assessment is special cases under Wealth Tax Act.
18. Write about Penalties under the C.S.T Act.
SECTION - C
Answer any TWO questions
(2  20 = 40 marks)
19. The Balance Sheet of a firm (an industrial undertaking) as on 31-3-2003 was
Rs.
Capital:
A
5,00,000
Building for own business
B
3,00,000
Other commercial fixed assets
General Reserve
2,00,000
Deposits in S.B.I
Creditors
3,00,000
Car
Other commercial assets
Closing stock
-----------13,00,000
------------
Rs.
2,00,000
4,00,000
3,00,000
1,20,000
2,00,000
80,000
----------13,00,000
----------2
Other information are:
i)
They share profits equally.
ii)
Value of fixed assets is Rs.6,00,000 and closing stock Rs.90,000
Find out the share of partners in the firm for Wealth Tax purposes and compute the net
wealth of A if his other assets are:
a) Shares in an Indian company Rs.50,000
b) Self-occupied house
Rs.12,00,000
c) Bank balance Rs.75000 and cash in hand Rs.60,000
d) Jewellery Rs.20,00,000
e) car Rs.1,25,000
20. M/s Subham made the following sale during the previous year at Indore
Rs.
i) Machinery sold to industries of M.P imported from Germany
17,96,000
ii) Machinery imported for London sold to dealer of Rajasthan
8,93,200
iii) Sale to Regd. dealer of Mumbai on commitment to send form
'C' but the dealer has not sent such form
7,70,000
iv) Machinery purchased from Maharastra sold to farmers of M.P
6,36,000
v) Sales of agricultural machinery (operated by animals):
sold in M.P
4,00,000
sold in Haryana
3,12,000
---------7,12,000
vi) Sales of registered dealers of Gujarat on form 'C'
4,40,000
vii) Sales to Punjab Govt. on form 'D'
4,68,000
viii) Income from Agricultural equipment let out
27,000
ix) Export of machinery to Bangladesh
7,12,000
Machinery was returned of Rs.76,000 from Gujarat registered dealers after 4 months.
Machinery is taxable @ 8% is M.P. Agricultural machinery is exempted in M.P
Compute taxable turn over according to central sales tax act.
21. Explain various assets Belonging to others but includible it the net wealth of an individual
with suitable examples.
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