X Ltd. an Indian company made an agreement with Sophie Ltd. a Swedish company with the approval of Central Government for lease of aircraft. The agreement was made on 28.3.2007. During the previous year 2020-21, X paid ₹ 7,00,000 as rent and also paid ₹ 60,000 for providing spares. The amount exempt in the hands of Sophie Ltd. u/s 10(15A) will be:
A. ₹ 7,60,000
B. ₹ 7,00,000
C. ₹ 60,000
D. Nil
Answer:B
X Ltd. an Indian company made an agreement with Sophie Ltd. a Swedish company with the approval of Central Government for lease of aircraft. The agreement was made on 28.3.2007. During the previous year 2020-21, X paid ₹ 7,00,000 as rent and also paid ₹ 60,000 for providing spares. The amount exempt in the hands of Sophie Ltd. u/s 10(15A) will be:
A. ₹ 7,60,000 B. ₹ 7,00,000 C. ₹ 60,000 D. Nil