Saagar who follows mercantile system of accounting held securities of face value of ₹ 20,000 from 1.10.2019 – 30.1.2020 giving interest @ 12% p.a. The due date of interest were 30th June and 31 st December every year. The interest income ……….. will be taxable in the hands of Mr. Saagar for the P.Y ………The interest was received on 15.4.2020
A. ₹ 1200 for P.Y. 2019-20
B. ₹ 1,200 in the P.Y. 2020-21
C. Not taxable in the hands of Mr. Saagar
D. ₹ 800 will be taxable for P.Y. 2019-20
Answer:A
Saagar who follows mercantile system of accounting held securities of face value of ₹ 20,000 from 1.10.2019 – 30.1.2020 giving interest @ 12% p.a. The due date of interest were 30th June and 31 st December every year. The interest income ……….. will be taxable in the hands of Mr. Saagar for the P.Y ………The interest was received on 15.4.2020
A. ₹ 1200 for P.Y. 2019-20 B. ₹ 1,200 in the P.Y. 2020-21 C. Not taxable in the hands of Mr. Saagar D. ₹ 800 will be taxable for P.Y. 2019-20