1.

Mrs. Sharma has furnished the following information:Business incomeRs. 1,30,000/-Income from house propertyRs. 80,000/-Capital Gains (Long Term)Rs. 40,000/-Capital Gains (Short Term)Rs. 20,000/-Income from other sourcesRs. 15,000/-Deposit in PPFRs. 10,000/-She pays Rs. 5,000/- p.m. as rent for his residential accommodation in Delhi. Assuming, she or her family has no other residential accommodation, calculate deduction allowable u/s 80G to Mrs. Sharma for the relevant assessment year.

Answer»

The deduction u/s 80 G is the least of the following:

The deduction u/s 80 G is the least of the following:36,500
(b) Rs. 2000 per month24,000
(c) 25% of Adjusted total income (25/100* 2,35,000)58,750

The maximum deduction allowed u/s 80 G is Rs. 24,000.

Working Note :

Adjusted total Income = Gross Total Income – Special Income – Deductions except u/s 80 G

= 2,85,000 – 40,000 (LTCG Income) – 10,000 (Deduction U/s 80 C – deposit in PPF)

= Rs. 2,35,000/-

Gross total income =Business incomeRs. 1,30,000/-
Income from house propertyRs. 80,000/-
Capital Gains (Long TermRs. 40,000/-
Capital Gains (Short Term)Rs. 20,000/-
Income from other sourcesRs. 15,000/-
TotalRs. 2,85,000/-



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