Whether income from Cross Word Puzzle is part of Gross Inco

your tax liability will be Rs.1046.00

Dear Mr Vijay

Computation will be as follows:

Business Income - 200000

Interest Income - 150

Winnings: Games - 5000

Gross Total Income - 2,05,150

Less Deduction u/s 80C - 35000

Net Taxable Income - 1,70,150

Hence Winnings From Cross word will be included in the Gross Total Income.

Thanks & Regards

Ram.

GTI     205150

-  80 C    35000

NI      170150

TAX     1046

The computation is as follows:-

BUSINESS INCOME:-

Profit computed                                                                200000

                                                                                           -------------

Taxable business income                                             200000

OTHER SOURCES:

Interest from Savings Bank                                                  150

Income from crossword puzzle                                         5000

                                                                                          ---------------

Taxable other sources                                                       5150

ABSTRACT

BUSINESS INCOME                   200000

OTHER SOURCES                         5150

                                                         ------------

Income:                                          205150

Less: 80-C                                       35000

                                                       -------------

Total income                                170150

Tax on regular income     ( 170150-5000) i.e. 165150                 515

Tax on crossword income (u/s 115BB) i.e. 5000*30%              1500

 Add : Cess @ 3%                                                                                  60                                                              

Tax payable                                                                                         2075

<<<<Corrections and reasons for corrections are welcome >>>>

Mr. Subramanya is correct, and the Tax Payable is Rs. 2075/-

YES ,agree with Mr.Subramanya.........

tax payable is 2075

Agreed with Subramanya

Regards

Ram.

subramanya bhagirath k is right.

Yes Subramanya is correct on income from winning charge tax rate 30% and also this income not include in  exemption limit i.e 1,60,000 for individual. Even the total income from other head is belo taxable limit and you have income from winning then this income not include in the exemption limit you will pay for tax on that income