Syllabus (COMMERCE)

Course Type: MAJ-2

Semester: 2

Course Code: BBCOMMAJ02T

Course Title: Income Tax Laws and Practice

(L-P-Tu): 5-01

Credit: 6

Practical/Theory: Theory

Course Objective: The course aims to: 1. Provide knowledge of the various provisions of income-tax law in India 2. Enable the learners to apply such provisions to compute total income and tax liability of individuals and HUFs. 3. It also aims to enable learners to understand the provisions relating to filing of return of income.

Learning Outcome: After completion of the course, learners will be able to: 1. Comprehend the concepts of taxation, including assessment year, previous year, assesses, person, income, total income, agricultural income and determine the residential status of persons; 2. Compute income under different heads, applying the charging provisions, deeming provisions, exemptions and deductions; 3. Apply the clubbing provisions and provisions relating to set-off and carry forward of losses to determine the gross total income; 4. Calculate the tax liability of an individual and HUF as well as deductions from gross total income and determine the total income of an individual and HUF; 5. Comprehend the provisions relating to filing of return of income.

Subject: Income Tax Laws and Practice

Unit 1: Introduction (Lectures: 15)

Basic concepts and Definitions: Income, Person, Assessee, Deemed Assessee, Previous Year, Assessment Year, Sources of Income, Heads of Income, Gross Total Income, Total Income, Difference between Exemption and Deduction, Rates of Income Tax- Normal Rate and Flat Rate, Surcharge, Education Cess, Concept of Tax Planning.

Residential Status: General Discussion regarding all types of persons and in detail including numerical problems relating to individuals.

Unit 2: Agricultural Income and Exempt Incomes U/S 10 (Lectures: 10)

Incomes Exempt under Section 10

Definition, Examples of Agricultural Income and Non-Agricultural Income, Income which is partly agricultural and partly from business (with simple numerical problems)

Unit 3: Computation of Income under Different Heads (Lectures: 20)

Income from Salaries Income from House Property and Income from Business only.

Unit 4: Computation of Total Income and Tax Liability (Lectures:10 )

Income of other persons included in case of individual’s total income; Deductions from gross total income (Sec.80C, 80D, 80DD, 80G, 80GG, 80TTA, 80U); Computation of total income of an individual taking incomes under different heads, Computation of income tax payable by an individual.

Unit 5: Return of Income and Assessment (Lectures: 10)

Different Types of Returns, Due dates of Filing of returns for different types of assessees, Rectification of mistakes in the return, Different Return Forms, Verification and signing of return, Filing of Return in electronic form, advance payment of tax, time limit for completion of assessment/reassessment, PAN, TAN

Unit 6: Tax Deduction and Payment: (Lectures: 10)Type of deductors and Payment of TDS/TCS: Government, Non-corporate and Corporate, Download & Preparation-Form-16, Form-16A & Others from tdscpc.gov.in; AIS

Reading References:

Ahuja, Grish & Gupta, Ravi, Corporate Tax Planning and Management, Bharat Law House, Delhi.

Ahuja, Girish and Gupta, Ravi, Systematic Approach to Income Tax, Bharat Law House, Delhi.

Gaur and Narang, Direct Taxes, Kalyani Publishers.

Hariharan, Income Tax: Law & Practice, Mc-Graw Hill Education.

Lal, B.B., Direct Taxes, Konark Publisher, New Delhi.

Lal, Jawahar, Income Tax, Pearson Education.

Pagare, Dinakar, Law and Practice of Income Tax, Sultan Chand & Sons.

Pathak, A., Business Taxation, Mc-Graw Hill Education.

Pathak, Akhileshwar & Godiawala, Savan, Business Taxation, McGraw Hill Education.

Singhania, V.K. & Singhania, M., Corporate Tax Planning and Business Tax Procedures, Taxmann Publications.

Singhania, V.K. & Singhania, K., Direct Taxes: Law and Practice, Taxamnn Publications.

Singhania, V.K. & Singhania, M., Students’ Guide to Income Tax, Taxmann Publications.