FORMAT FOR COMPUTATION OF INCOME FROM OTHER SOURCES

S.NO PARTICULARS AMOUNT AMOUNT

.

1. DIVIDEND INCOMES:

A. Dividend from Foreign Companies XXXX

B. Dividend from Co-Operatives Societies XXXX

(Dividend from Indian co., Units of UTI & Mutual Funds are Exempted XXXX
from Tax)

LESS: Collection charge XXXX XXXX

2. CASUAL INCOME:

A. Lottery Winning, Cross Word Puzzles, Card Games, Game Shows

( No TDS will be deducted up to Rs.10,000) XXXX

B. Horse Race Winning (No TDS will be deducted up to Rs.5,000) XXXX

C. Other races, gambling or betting (No TDS is Deducted) (No grossing

up) XXXX XXXX
{Expenses in connection with casual income are not deductible}
{Loss in respect of casual incomes cannot be deducted}
{No grossing up, if amount won is given}
Grossing up = Net Winning X 100/(100 - 30)

3. INTREST ON SECURITIES:

A. Interest on government securities:

(I) Exempted securities (Exempted from tax) XXXX

(II) Taxable Securities (No TDS will be deducted, so no grossing up) XXXX

B. Interest on non - government securities

(I) Tax Free Securities (Always Gross Up) XXXX

(II) Tax Securities XXXX

{If net interest or amount received is given – gross up}
{If rate of interest is given – no grossing up}
Grossing up = Net Interest X 100/(100 - 10)

LESS: Collection Charges XXXX

Interest on borrowings for investments XXXX XXXX

4. INTEREST ON BANK DEPOSITS XXXX

5. FAMILY PENSION RECEIVED XXXX

LESS: S.D (1/3rd of pension or Rs.15,000 whichever is less) XXXX XXXX

6. INCOME BY LETTING OUT OF FURNITURE, P&M ALONG XXXX

WITH BUILDING
 LESS: Expenses: Depreciation, Repairs, Insurance XXXX XXXX

7. ROYALTY INCOME XXXX

LESS: Expenses incurred XXXX XXXX

8. INCOME FROM SUBLETTING OF HOUSE PROPERTY XXXX

LESS: Expenses: Rent paid repairs and local taxes. XXXX XXXX

9. INCOME BY MAINTANANCE OF RACE HORSES XXXX

LESS: Expenses XXXX XXXX

10. OTHER INCOMES:

· Agricultural income from land situated outside India XXXX

· Salary received by MP’s and MLA’s XXXX

· Gifts received in excess of Rs.50,000 from non-relatives XXXX

· Examinership remuneration received by teachers XXXX

· Rent of land not attached to any building XXXX

· Interest on own contribution to URPF XXXX

· Gratuity received by a director XXXX

· Directors fees & commission XXXX

· Fees or commission received by an employee from a XXXX

person other than his employer

· Amount withdrawn from deposit in National Saving XXXX

Scheme

· Receipts by cricketers selected to play for India XXXX

TAXABLE INCOME FROM OTHER SOURCES XXXX

I DIVIDEND INCOME
PROBLEM NO. 1 PAGE NO. 9.45
COMPUTATION OF IFOS OF MR. SREENIVAS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Dividend From X Limited( Foreign Company) 40,000

Dividend From Y Limited (Indian co) Exempted

Dividend From Cooperative Society 3,000

Taxable Income From Other Sources 43,000

***************************************************************************************
PROBLEM NO. 2 PAGE NO. 9.46
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT
Dividend From Microsoft ( Foreign 60,000
Company)

Dividend From Telco Exempted

Dividend From Units Of Unit Trust Of India Exempted

Taxable Income From Other Sources 60,000

***************************************************************************************
PROBLEM NO. 3 PAGE NO. 9.46
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Dividend (Indian Company) Exempted

Interim Dividend ( Indian Company) Exempted

Dividend ( Cooperative Society) 10,000

Dividend ( Foreign Company) 52,000

Dividend From UTI Exempted

Taxable Income From Other Sources 62,000

***************************************************************************************
II CASUAL INCOME
IX MAINTANANCE OF RACE HORSES
PROBLEM NO. 4 PAGE NO. 9.46
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Winning From Lottery (49,000 X 100 / 70,000

70)

Winning From Card Games 16,000

Taxable Income From Other Sources 86,000

***************************************************************************************

PROBLEM NO. 6PAGE NO. 9.47

COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Winning From Sikkim Lottery (1,05,000 X 100 1,50,000

/70)

Winning From Horse Race 2,000

Winning From Crossword Puzzle 4,000

Taxable Income From Other Sources (A) 1,56,000

PARTICULARS AMOUNT AMOUNT

Winnings From Lottery 2,000

Winning From Horse Race (56,000 X 100 /70) 80,000

Taxable Income From Other Sources (B) 82,000

***************************************************************************************
PROBLEM NO. 7 PAGE NO. 9.47
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Winning From Tamilnadu State 1,80,000

Lottery

Winning From Horse Races 1,500

Winning From Crossword Puzzle 15,000

Winning From Card Game 20,000

Winning From Gambling And Lettings 25,000

Taxable Income From Other Sources 2,41,500

***************************************************************************************
PROBLEM NO. 8 PAGE NO. 9.48
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Winnings From Horse Races 10,000

Winning From Lottery Tickets 50,000

Dividend Received Exempted

Taxable Income From Other Sources 60,000

NOTE: Amount spent on lottery to be ignored
***************************************************************************************

PROBLEM NO.10 PAGE NO. 9.45

COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Dividend From M Company ( Indian Company) Exempted

Dividend From Z Company Exempted

Interim Dividend Exempted

Gold Won from Punjab State Lottery 10,00,000

 Income From Maintaining Horses 1,00,000

Less: Expenses On Maintenance Of Racehorses 1,60,000 (60,000) c/f -

Taxable Income From Other Sources 10,00,000

***************************************************************************************
PROBLEM NO. 12 PAGE NO. 9.49
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Income From Maintenance Of Horse Races ( Hyderabad) 2,40,000

Less: Expenses On Maintenance Of Racehorses ( Hyderabad) 4,00,000 (1,60,000) -

c/f

Income From Maintenance Of Horse Races (Bangalore) 1,80,000

Less: Expenses On Maintenance Of Racehorses ( Bangalore) 2,50,000 (70,000) c/f -

Income From Betting (2,20,000 X 100/ 70) 3,14,286

Winnings From Lottery 50,000

Speculation Income 40,000

Taxable Income From Other Sources 4,04,286

III INTEREST ON SECURITIES

 INTEREST ON SECURITIES

GOVERNMENT SECURITIES NON - GOVERNMENT SECURITIES

EXEMPTED TAXABLE TAX FREE LESS TAX

SECURITIES SECURITIES SECURITIES SECURITIES

NO TDS NET INCOME

ALWAYS
NO TAX (NO GROSSING RECEIVED
UP)
GROSS UP
(GROSS UP)

PROBLEM NO. 28 PAGE NO. 9.55

COMPUTATION OF GROSSING UP AMOUNT FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Interest On Debentures (4,590 X 100 /90) 5,100

Gross Up Amount 5,100

***************************************************************************************
PROBLEM NO. 29 PAGE NO. 9.55
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS NET AMOUNT GROSS AMOUNT

10% Tax Free Commercial Securities (31,840 X 10% X 100/90) 3,184 3,538

Interest On Tax Free Securities (6,286 X100/90) 6,984

Taxable Income From Other Sources 10,522

***************************************************************************************
PROBLEM NO. 30 PAGE NO. 9.45
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

9% Tax Free Commercial Securities (2,00,000 X 9% 18,000 20,000

X100/90)

Gross Interest 20,000

***************************************************************************************
PROBLEM NO. 35 PAGE NO. 9.45
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

5% Government Securities (70,000 X 5%) 3,500

8% Agra Municipal Bonds (50,000 X 8%) 4,000

9% Debentures Of A Company (30,000 X 2,700

9%)

7% Capital Investment Bonds Exempted

Taxable Income From Other Sources 10,200

***************************************************************************************
PROBLEM NO. 42 PAGE NO. 9.59
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS NET GROSS
AMOUNT AMOUNT

10% Tax Free Debentures Of Of Malwa Textile (54,000 X 10%X 5,400 6,000
100/90)

10% Tax Free Debentures Of Sugar Mill Company (36,000 X 10%X 3,600 4, 000
100/90)

8% Relief Bonds Exempted Exempted

8% Tax Free Bonds Of Public Co (22,500 X8% X 100/90) 1,800 2,000

Income From Other Sources 10,800 12,000

LESS: Collection Charges (10,800X 2%) - 216

Taxable Income From Other Sources 11,784

***************************************************************************************
PROBLEM NO.46 PAGE NO. 9.62
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

5% Tax Free UP Government Loan (3,00,000 X5%) 15,000

6% Non Listed Debentures Of ABC Limited(40,000 X6%) 2,400

8% Debentures Of Pqr Limited (25,000 X4%) 1,000

Interest On Debentures Of MP Limited Received (9,000 X100/90) 10,000

Interest On Debentures Of Soft Limited Listed Received (8,100 X100/90) 9,000

Taxable Income From Other Sources 37,400

ADD: Business Income 64,000

Total Taxable Income 1,01,400

***************************************************************************************
PROBLEM NO. 47 PAGE NO. 9.63
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

10% Government Securities (30,000 X10%) 3,000

10% Karnataka Government Loan (40,000 X10%) 4,000

10% Tax Free Debentures Of A Company (30,020 X 100 /90) 3,336

10% Debentures Of TEA Company (20,000 X10%) 2,000

Interest On Debentures Of A Unlisted Company Received (7,110 X100/90) 7,900

Interest On Tax Free Debentures Listed Receive (18,000 X 100/90) 20,000

LESS: Collection Charges 500

Taxable Income From Other Sources 39,735

***************************************************************************************

IV INTEREST ON BANK DEPOSIT

V FAMILY PENSION RECEIVED
VI INCOME FROM LETTING ON HIRE OF MACHINERY, FURNITURE ALONG WITH
BUILDING
VII ROYALTY INCOME
PROBLEM NO. 21 PAGE NO. 9.52
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Dividend Exempted

Rent From Machines 26,000

Less: Brokerage 380

Insurance 1,060

Depreciation 1,400

Repairs 250 3,090 22,910

Casual Income (24,500 X 100 /70) 35,000

Interest On Bank Deposits 6,000

Royalty Income 18,0000

Less: Expenses 2,000 16,000

Income From Other Sources 79,910

***************************************************************************************
PROBLEM NO. 23 PAGE NO. 9.53
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021

PARTICULARS AMOUNT AMOUNT

Dividend ( Indian Company) Exempted

Winning From Lottery Received (68,500 97,857

X100/90)

Winning From Card Game 25,000

Interest On Government Securities 14,000

Family Pension 24,600 X1/3 Or 15,000 (W.E.L) 24,600

8,200 Or 15,000 (W.E.L)

Less:Exemption 8,200 16,400

Taxable Income From Other Sources 1,53,257

***************************************************************************************

VIII INCOME FROM SUBLETTING THE HOUSE PROPERTY

PROBLEM NO. 17 PAGE NO. 9.52
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Rent from Subletting 15,000

Less: Rent Paid (2,500 x 12 x25%) 7,500

Repairs (4,000 x 25%) 1,000 8,500

Taxable Income From Other Sources 6,500

***************************************************************************************
COMPREHENSIVE PROBLEMS
PROBLEM NO. 53 PAGE NO. 9.65
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Director’s Fees 6,000

Income From Agricultural Land In Pakistan 40,000

Interest On Savings From Bank 1,500

Interest On Fixed Deposits 1,800

Winnings From Lottery (Net) (33,000 X100/70) 47,143

Royalty On Books 20,000

Less:Expenses 4,000 16,000

Interest On Compensation 1,20,000

Less: 50% Deduction 60,000 60,000

Taxable Income From Other Sources 1,72,443

PROBLEM NO. 57 PAGE NO. 9.67

COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Director’s Fees 2,000

Income From Agricultural Land In Sri Lanka 5,000

Ground Rent For Land In Mysore 10,000

Interest On Post Office Savings Bank Account Nil

(Exempt Up to 3,500)

Interest On Deposit With IFCI 500

Dividend From Foreign Company 700

Rent From Subletting Of House Property 26,250

Less: Rent Paid For Subletting 13,000 13,250

Winnings From Horse Races 12,300

Interest On Securities 4,000

Taxable Income From Other Sources 47,750

***************************************************************************************
RECEIPT OF MOVABLE / IMMOVABLE PROPERTY WITH OR WITHOUT CONSIDERATION
PARTICULARS WITH CONSIDERATION WITHOUT CONSIDERATION
Movable property Aggregate FMV – Aggregate If aggregate FMV
purchase consideration exceeds exceedsRs.50,000 is chargeable
Rs.50,000 is chargeable to tax to Tax (All transactions in
(All transactions in aggregate) aggregate)
Immovable property If the purchase consideration is If stamp duty value exceeds
less than stamp duty value Rs.50,000 is chargeable to Tax
If the difference exceeds (Single transaction)
Rs.50,000 is chargeable to Tax
(Single transaction)

PROBLEM NO. 60 PAGE NO. 9.69

COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT

Royalty From Coal Mine 20,000

Less: Expenses 3,000 17,000

Agricultural Income In Pakistan 15,000

Salary For A Part Time Job In A Firm Nil

Salary Of A Member Of Parliament 36,000

Daily Allowance Of M.P Exempted

Subletting Of A House Property 14,400

Less: Rent Paid (1,000 X12x 1/2) 6,000

Municipal Tax Paid 200 X1/2 100

Repairs (500 X1/2) 250 8,050

Dividend Received From Cooperative Socity 5,000

Less: Collection Charges 100 4,900

Purchased Gold And Work Of Art With 28,50,000

Consideration (FMV)

Less: Purchase Consideration 25,00,00 3,50,000

Taxable Income From Other Sources 4,30,950

**************************************************************************************

PROBLEM NO. 60 PAGE NO. 9.73

COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS AMOUNT AMOUNT
Dividend On Equity Shares (Gross) Exempted

Dividend On Preference Shares Exempted

Interest On Bank Deposits 60,000

Director’s Sitting Fees 1,200

Ground Rent 800

Income From Undisclosed Source 10,000

Income From Lotteries (Gross) 10,000

Income From Agricultural Land In India Not taxable

Income From Agricultural Land In USA 1,00,000

Interest On Bank Deposits With Uco Bank 5,000

Mukund Received Gift From

Sister Not Taxable

Friend 27,000

Another Friend (Exempt Up To Rs.50,000) 29,000 56,000

Mukund Received Property Without Consideration

a. House Property Situated In In Chennai Not taxable

(Does Not Exceed Rs.50,000)

b. House Property Situated In Madurai 5,00,000

Taxable Income From Other Sources 7,43,000

*************************************************************************************
PROBLEM NO. 68 PAGE NO. 9.76
COMPUTATION OF IFOS FOR THE PY:2019 - 2020 AY:2020 -2021
PARTICULARS NET AMOUNT GROSS
AMOUNT

7 ½ %Government Paper 4,050 Nil 4,050

10% Improvement Trust Bonds (35,000 X 10%X 1,575 175 1,750

6/12) Or 1750 X 90/100

5% Municipal Debentures (60,000 X5% ) 3,000 2,700 300 3,000

X90/100

4 ½ % Madras Port Trust Bonds (40,000 X 9/200) 1620 180 1,800

1,800 X90%

6 ¾ % Bombay Development Loan (20,000 X 1,215 135 1,350

27/400) 1350x 90/100

8 ¼ %Tax Free India Government Loan 32,000x 2,640 Nil 2,640

33/400
12% Tax Free Debentures 60,000 X 12% 8,000 7,200 800 8,000
X100/90

9% Debentures Of A Sugar Mill Company 40,000 3,240 360 3,600

X 9% 36,000 X 90/100

10% Redeemable Preference Shares Nil Nil Nil

6% Bombay Port Trust Bonds 40,000 X6%X 6/12 1,080 120 1,200
1200 X90/100

7 ½ % A.P Government Loan 40,000 X 1,500 Nil 1,500

15/200x6/12

Total 26,820 2,070 28,890

Less: Bank Commission 26,820 X2% 536

Less: Interest On Borrowings

20,000 X 9% X 6/12 900
40,000 X 12 X 6/12 2,400

Taxable Income From Other Sources 25,054

***************************************************************************************