Tax Book 2023

Chapter 30 Solved Past Papers Income Tax Numericals of ICMAP Stage IV - (2003 to 2018)

INCOME FROM SALARY

Salary 300,000 - -

INCOME FROM BUSINESS - 100,000 -

INCOME FROM OTHER SOURCES

Agricultural income (included to compute total income) 120,000

Total income 300,000 220,000 -

(120,000)

Share in profit before tax from AOP 250,000 245,000 -

Taxable income (including share from AOP) 550,000 345,000 -

Note: Tax rates for non salaried individuals shall be applied on taxable income of Mr. Baqar and

Note: Share from AOP shall not be included in the income of Mr. Mikdad as information of profit on

supplies made to Government has not been provided in the question.

Less agri income (exempt u/s 41 and furter assumed

that provincial income tax paid)

818___ Conceptual Approach to Taxes

Computation of tax liability: Mr. Baqar Mr. Hadi Mr. Mikdad

Tax liability under NTR:

On Rs. 550,000 - - -

Tax on income excluding share from AOP - - -

7,500 / 550,000 x 300,000

Tax liability under FTR:

Tax on profit on debt U/S 151 (Rs. 20,000 x 15%) 3,000 - -

Minimus tax - supplies U/S 153 (Rs. 1,500,000 x 4.5%) - - 67,500

3,000 - 67,500

Total tax liability 3,000 - 67,500

Less: tax deducted at source

On salary U/S 149 21,000 - -

Profit on debt U/S 151 2,000 - -

on supply of goods U/S 153 - - 67,500

23,000 - 67,500

Balance tax refundable (20,000) - -

Note: Tax rates for non salaried individuals shall be applied on taxable income of Mr. Baqar and

Mr. Hadi as the taxable salary income is not more than 75% of taxable income.

Balance tax refundable (20,000) - -

Summer - 2004 Q. 5

His monthly remunerations are as follows:

Mr. Qais Mansoor is Director-cum-Company Secretary of M/s Badar Salam and Co. Ltd., since the

year 2006.

818___ Conceptual Approach to Taxes