Mrs. Latha furnishes the following information for the P.Y. 2024-25: (Ignore Alternative Tax Regime under Section 115BAC) Salary income ₹ 2,60,000 debenture interest ₹ 50,000 Donation to P. M. drought relief fund ₹ 12,000 Donation to public charitable institution ₹ 90,000 Other income ₹ 2,00,000, Long term capital gain ₹ 50,000, Contribution to PPF ₹ 1,00,000, Winnings from lottery ₹ 1,00,000. Donation to GOI for the promotion of family planning ₹ 30,000. Compute her total income. (Ignore Alternative Tax Regime under Section 115BAC)

Economics
Mrs. Latha furnishes the following information for the P.Y. 2024-25: (Ignore Alternative Tax Regime under Section 115BAC) Salary income ₹ 2,60,000 debenture interest ₹ 50,000 Donation to P. M. drought relief fund ₹ 12,000 Donation to public charitable institution ₹ 90,000 Other income ₹ 2,00,000, Long term capital gain ₹ 50,000, Contribution to PPF ₹ 1,00,000, Winnings from lottery ₹ 1,00,000. Donation to GOI for the promotion of family planning ₹ 30,000. Compute her total income. (Ignore Alternative Tax Regime under Section 115BAC)

ScanSolve AI Answer

Answer

₹65,70,000

Step 1: Income from Salary
Gross Salary =₹60,00,000= ₹60,00,000

Less:Standarddeductionu/s16(1)=₹50,000NetSalary=₹60,00,000−₹50,000=₹59,50,000\begin{align*} &Less: Standard deduction u/s 16(1) \\ &= ₹50,000 \\ &Net Salary \\ &= ₹60,00,000 - ₹50,000 \\ &= ₹59,50,000 \end{align*}

Step 2: Income from Other Sources
Savings bank interest =₹50,000= ₹50,000

Step 3: Capital Gains
Long-term capital gain (LTCG) =₹20,00,000= ₹20,00,000

Step 4: Gross Total Income (GTI)

GTI=NetSalary+Savingsbankinterest+LTCG=₹59,50,000+₹50,000+₹20,00,000=₹80,00,000\begin{align*} GTI &= Net Salary + Savings bank interest + LTCG \\ &= ₹59,50,000 + ₹50,000 + ₹20,00,000 \\ &= ₹80,00,000 \end{align*}

Step 5: Deductions under Chapter VI-A

u/s 80C:
PPF contribution =₹1,00,000= ₹1,00,000

u/s 80G:

P.M.DroughtReliefFund(100%deduction)=₹12,90,000Donationforfamilyplanning(100%deduction)=₹30,000Totalu/s80G=₹12,90,000+₹30,000=₹13,20,000\begin{align*} &P.M. Drought Relief Fund (100\% deduction) \\ &= ₹12,90,000 \\ &Donation for family planning (100\% deduction) \\ &= ₹30,000 \\ &Total u/s 80G \\ &= ₹12,90,000 + ₹30,000 \\ &= ₹13,20,000 \end{align*}

u/s 80TTA:

Deductiononsavingsbankinterest=min⁡(₹50,000,₹10,000)=₹10,000\begin{align*} &Deduction on savings bank interest \\ &= \min(₹50,000, ₹10,000) \\ &= ₹10,000 \end{align*}

Total Chapter VI-A deductions:

=₹1,00,000+₹13,20,000+₹10,000=₹14,30,000\begin{align*} &= ₹1,00,000 + ₹13,20,000 + ₹10,000 \\ &= ₹14,30,000 \end{align*}

Step 6: Total Income

TotalIncome=GTI−ChapterVI−Adeductions=₹80,00,000−₹14,30,000=₹65,70,000\begin{align*} Total Income &= GTI - Chapter VI-A deductions \\ &= ₹80,00,000 - ₹14,30,000 \\ &= ₹65,70,000 \end{align*}
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Quick Answer

Income from Salary Gross Salary = ₹60,00,000 &Less: Standard deduction u/s 16(1) \\ &= ₹50,000 \\ &Net Salary \\ &= ₹60,00,000 - ₹50,000 \\ &= ₹59,50,000 Step 2: Income from Other Sources Savings bank interest = ₹50,000 Step 3: Capital Gains Long-term…

Mrs. Latha furnishes the following information for the P.Y. 2024-25: (Ignore Alternative Tax Regime under Section 115BAC) Salary income ₹ 2,60,000 debenture interest ₹ 50,000 Donation to P. M. drought relief fund ₹ 12,000 Donation to public charitable institution ₹ 90,000 Other income ₹ 2,00,000, Long term capital gain ₹ 50,000, Contribution to PPF ₹ 1,00,000, Winnings from lottery ₹ 1,00,000. Donation to GOI for the promotion of family planning ₹ 30,000. Compute her total income. (Ignore Alternative Tax Regime under Section 115BAC)
Economics

This economics question tests your understanding of economic models and analysis. The step-by-step answer below applies the relevant framework and explains the reasoning.

ScanSolve AI Answer
Step 1: Income from Salary Gross Salary = ₹60,00,000 &Less: Standard deduction u/s 16(1) \\ &= ₹50,000 \\ &Net Salary \\ &= ₹60,00,000 - ₹50,000 \\ &= ₹59,50,000 Step 2: Income from Other Sources Savings bank interest = ₹50,000 Step 3: Capital Gains Long-term capital gain (LTCG) = ₹20,00,000 Step 4: Gross Total Income (GTI) GTI &= Net Salary + Savings bank interest + LTCG \\ &= ₹59,50,000 + ₹50,000 + ₹20,00,000 \\ &= ₹80,00,000 Step 5: Deductions under Chapter VI-A u/s 80C: PPF contribution = ₹1,00,000 u/s 80G: &P.M. Drought Relief Fund (100\% deduction) \\ &= ₹12,90,000 \\ &Donation for family planning (100\% deduction) \\ &= ₹30,000 \\ &Total u/s 80G \\ &= ₹12,90,000 + ₹30,000 \\ &= ₹13,20,000 u/s 80TTA: &Deduction on savings bank interest \\ &= (₹50,000, ₹10,000) \\ &= ₹10,000 Total Chapter VI-A deductions: &= ₹1,00,000 + ₹13,20,000 + ₹10,000 \\ &= ₹14,30,000 Step 6: Total Income Total Income &= GTI - Chapter VI-A deductions \\ &= ₹80,00,000 - ₹14,30,000 \\ &= ₹65,70,000