Kant, is engaged in the business of purchase and sale of pieces of various lands. During the F.Y. 2019-20, he sold pieces of lands for ₹ 32 lakh. All these sales were made through cheques and Electronic Clearing System (ECS). The valuation of these pieces was ₹ 41 Lakhs. He wants to pay tax on the income as per section 44AD. The income as per this section for A.Y. 2020-21 shall be:
A. ₹ 2,46,000
B. ₹ 3,28,000
C. ₹ 2,56,000
D. ₹ 1,92,000
Answer:A
Kant, is engaged in the business of purchase and sale of pieces of various lands. During the F.Y. 2019-20, he sold pieces of lands for ₹ 32 lakh. All these sales were made through cheques and Electronic Clearing System (ECS). The valuation of these pieces was ₹ 41 Lakhs. He wants to pay tax on the income as per section 44AD. The income as per this section for A.Y. 2020-21 shall be:
A. ₹ 2,46,000 B. ₹ 3,28,000 C. ₹ 2,56,000 D. ₹ 1,92,000