th
10 Edition
ERRORLESS
TAXATION
CA INTER CS EXECUTIVE CMA INTER
MAY/NOV 23 JUNE/DEC 23 JUNE/DEC 23
BUY COLORED HARD-COPY @ RS. 599 ONLY FROM
DIRECT TAX
CONCEPT BOOK
Features:
Colored Charts, Tables &
Diagram
100% Coverage CA, CS & CMA
More than 220+ Examples
Fully amended for May/June
2023
CA PRANAV CHANDAK
, ❖ CA Inter May 2023 & November 2023
❖ CMA Inter June 2023 & December 2023
❖ CS Executive June 2023 & December 2023
DIRECT TAX
BY CA PRANAV CHANDAK
क्षणशः कणशश्चैव ववद्यामर्थं च साधयेत् । क्षणत्यागे कुतो ववद्या कणत्यागे कुतो धनम्॥
Knowledge should be gained through minute by minute efforts. Money should be
earned utilizing each and every resource. If you waste time, how can you get
knowledge. If you waste resources, how can you accumulate the wealth.
Disclaimer
Every effort has been made to avoid errors in this publication. In spite of this, some calculation/printing errors may
be in. Any Error may be brought to our notice which shall be taken care of in our next edition.
It is notified that neither the publisher nor the author or seller will be responsible for any damage or loss of action to
anyone, of any kind, in any manner.
No part of this book may be reproduced or copied in any form or by any means [graphics, electronic or mechanical,
including photocopying, recording, taping or information retrieval systems etc. without the written permission of the
author/publishers. Breach of this condition is liable for legal action.
For binding mistake, missing pages etc. publisher’s liability is limited to replacement within 7 days of purchase by
similar edition. All disputes are subject to Pune jurisdiction only.
, Index - Direct Tax Concept Book – Full Book
SN Name of the Chapter Page No. No. of MCQs given in MCQ Book
1 Basic Concepts of Income Tax 1 – 19 141
2 Residential Status 20 – 34 118
3 Income from Salary 35 – 66 259
4 Income from House Property 67 – 79 154
5 Profits & Gains of Business & Profession 80 – 115 441
6 Capital Gains 116 – 147 271
7 Income from Other Sources 148 – 158 119
8 Clubbing of Income 159 – 165 87
9 Set off & carry forward of Losses 166 – 174 99
10 Chapter VI-A Deductions 175– 193 167
11 Exempt Income u/s 10 & Agricultural Income 194 – 204 106
12 TDS & TCS 205 – 232 269
13 Advance Tax & Interest u/s 234 233 – 238 48
14 Return of Income & Assessment 239 – 253 119
15 Total Computation & AMT & New Tax Regime 254 – 265 NA [Case Study Based Only]
MCQ Discussion Video will be uploaded on YT channel of “Pranav Chandak Academy”.
☛ Whatsapp on 8888111134 to get Video Link of Free MCQs Discussion.
➡ CONNECT WITH ME ON:
, ▪ A tax may be defined as a "pecuniary (monetary) burden laid upon individuals or property owners to
support the Government [Black's Law Dictionary].
▪ It is financial charge (fee) imposed by Government on income, commodity or activity.
▪ A tax "is not a voluntary payment or donation, but an enforced contribution. However, it is non-penal.
▪ Thus, it can be said that Tax is “Compulsory Extortion of Money” by the government.
▪ Taxes constitute basic source of revenue to the Government which are utilized for meeting expenses of
Government like defence, provision of education, health-care, facilities like roads, dams etc.
▪ They are levied & collected to fulfill the soci-economic objectives of the government.
Basis Direct Tax Indirect Tax
Definition ▪ If tax is levied directly on income/wealth ▪ If tax is levied on price of a good or service,
of a person, it is a direct tax. it is an indirect tax.
Incidence & ▪ Impact & incidence of tax are on same ▪ Impact & incidence of tax are on different
Impact person. person.
Levied on ▪ Income/wealth of the person. ▪ Price of Goods or Services
Burden ▪ There is No Shifting of burden. ▪ Burden is shifted to subsequent buyer.
Borne by ▪ Directly borne by the taxpayer. ▪ Burden falls on final consumer.
Nature ▪ Progressive in nature ▪ Regressive in nature
Collection ▪ Yearly basis. ▪ @ the time of sale/purchase of G/S.
Examples ▪ Income tax, Tax on undisclosed Income. ▪ GST, Custom duty.
▪ In India, Constitution (COI) is the parent law. All other laws should be enacted (made) without exceeding
the framework of COI & subject to the norms (T&C) laid down in it. It consists of a Preamble, 25 parts
containing 448 Articles & 12 Schedules.
▪ Article 265 of CoI provides that no tax shall be levied or collected except by authority of law.
▪ CoI gives power to levy & collect taxes to Central Government (CG) & State Government.
▪ Parliament (Union) & State Legislature are empowered to make laws by virtue of Article 246 of CoI.
▪ Seventh Schedule to Article 246 contains 3 lists which are as follows:
Union List CG has exclusive power to make laws on the matters contained in Union List.
State List SG has exclusive power to make laws on the matters contained in State List.
Concurrent List Both CG & SG have power to make laws on the matters contained in this list.
▪ Article 254 deals with Inconsistency b/w laws made by Parliament & State Legislatures.
If State Legislature make any Law on the matter enumerated in concurrent list & the law so made
is inconsistent with → (1) Any Law made by Parliament; (2) Any Existing Law w.r.t this matter.
BUT ASSENT OF PRESIDENT is received to such Law made by State Legislature,
THEN, Law Formulated by such state shall prevail in such State instead of Law made by parliament.
▪ Entry 82 of Union List (List I to Seventh Schedule of COI) gives power to Parliament to levy taxes on
Income other than Agricultural Income. [Power to levy taxes on agricultural income is with SG].
1
10 Edition
ERRORLESS
TAXATION
CA INTER CS EXECUTIVE CMA INTER
MAY/NOV 23 JUNE/DEC 23 JUNE/DEC 23
BUY COLORED HARD-COPY @ RS. 599 ONLY FROM
DIRECT TAX
CONCEPT BOOK
Features:
Colored Charts, Tables &
Diagram
100% Coverage CA, CS & CMA
More than 220+ Examples
Fully amended for May/June
2023
CA PRANAV CHANDAK
, ❖ CA Inter May 2023 & November 2023
❖ CMA Inter June 2023 & December 2023
❖ CS Executive June 2023 & December 2023
DIRECT TAX
BY CA PRANAV CHANDAK
क्षणशः कणशश्चैव ववद्यामर्थं च साधयेत् । क्षणत्यागे कुतो ववद्या कणत्यागे कुतो धनम्॥
Knowledge should be gained through minute by minute efforts. Money should be
earned utilizing each and every resource. If you waste time, how can you get
knowledge. If you waste resources, how can you accumulate the wealth.
Disclaimer
Every effort has been made to avoid errors in this publication. In spite of this, some calculation/printing errors may
be in. Any Error may be brought to our notice which shall be taken care of in our next edition.
It is notified that neither the publisher nor the author or seller will be responsible for any damage or loss of action to
anyone, of any kind, in any manner.
No part of this book may be reproduced or copied in any form or by any means [graphics, electronic or mechanical,
including photocopying, recording, taping or information retrieval systems etc. without the written permission of the
author/publishers. Breach of this condition is liable for legal action.
For binding mistake, missing pages etc. publisher’s liability is limited to replacement within 7 days of purchase by
similar edition. All disputes are subject to Pune jurisdiction only.
, Index - Direct Tax Concept Book – Full Book
SN Name of the Chapter Page No. No. of MCQs given in MCQ Book
1 Basic Concepts of Income Tax 1 – 19 141
2 Residential Status 20 – 34 118
3 Income from Salary 35 – 66 259
4 Income from House Property 67 – 79 154
5 Profits & Gains of Business & Profession 80 – 115 441
6 Capital Gains 116 – 147 271
7 Income from Other Sources 148 – 158 119
8 Clubbing of Income 159 – 165 87
9 Set off & carry forward of Losses 166 – 174 99
10 Chapter VI-A Deductions 175– 193 167
11 Exempt Income u/s 10 & Agricultural Income 194 – 204 106
12 TDS & TCS 205 – 232 269
13 Advance Tax & Interest u/s 234 233 – 238 48
14 Return of Income & Assessment 239 – 253 119
15 Total Computation & AMT & New Tax Regime 254 – 265 NA [Case Study Based Only]
MCQ Discussion Video will be uploaded on YT channel of “Pranav Chandak Academy”.
☛ Whatsapp on 8888111134 to get Video Link of Free MCQs Discussion.
➡ CONNECT WITH ME ON:
, ▪ A tax may be defined as a "pecuniary (monetary) burden laid upon individuals or property owners to
support the Government [Black's Law Dictionary].
▪ It is financial charge (fee) imposed by Government on income, commodity or activity.
▪ A tax "is not a voluntary payment or donation, but an enforced contribution. However, it is non-penal.
▪ Thus, it can be said that Tax is “Compulsory Extortion of Money” by the government.
▪ Taxes constitute basic source of revenue to the Government which are utilized for meeting expenses of
Government like defence, provision of education, health-care, facilities like roads, dams etc.
▪ They are levied & collected to fulfill the soci-economic objectives of the government.
Basis Direct Tax Indirect Tax
Definition ▪ If tax is levied directly on income/wealth ▪ If tax is levied on price of a good or service,
of a person, it is a direct tax. it is an indirect tax.
Incidence & ▪ Impact & incidence of tax are on same ▪ Impact & incidence of tax are on different
Impact person. person.
Levied on ▪ Income/wealth of the person. ▪ Price of Goods or Services
Burden ▪ There is No Shifting of burden. ▪ Burden is shifted to subsequent buyer.
Borne by ▪ Directly borne by the taxpayer. ▪ Burden falls on final consumer.
Nature ▪ Progressive in nature ▪ Regressive in nature
Collection ▪ Yearly basis. ▪ @ the time of sale/purchase of G/S.
Examples ▪ Income tax, Tax on undisclosed Income. ▪ GST, Custom duty.
▪ In India, Constitution (COI) is the parent law. All other laws should be enacted (made) without exceeding
the framework of COI & subject to the norms (T&C) laid down in it. It consists of a Preamble, 25 parts
containing 448 Articles & 12 Schedules.
▪ Article 265 of CoI provides that no tax shall be levied or collected except by authority of law.
▪ CoI gives power to levy & collect taxes to Central Government (CG) & State Government.
▪ Parliament (Union) & State Legislature are empowered to make laws by virtue of Article 246 of CoI.
▪ Seventh Schedule to Article 246 contains 3 lists which are as follows:
Union List CG has exclusive power to make laws on the matters contained in Union List.
State List SG has exclusive power to make laws on the matters contained in State List.
Concurrent List Both CG & SG have power to make laws on the matters contained in this list.
▪ Article 254 deals with Inconsistency b/w laws made by Parliament & State Legislatures.
If State Legislature make any Law on the matter enumerated in concurrent list & the law so made
is inconsistent with → (1) Any Law made by Parliament; (2) Any Existing Law w.r.t this matter.
BUT ASSENT OF PRESIDENT is received to such Law made by State Legislature,
THEN, Law Formulated by such state shall prevail in such State instead of Law made by parliament.
▪ Entry 82 of Union List (List I to Seventh Schedule of COI) gives power to Parliament to levy taxes on
Income other than Agricultural Income. [Power to levy taxes on agricultural income is with SG].
1
