CA Inter TAxation | MCQ Solution & Paper Review | May 2026 Attempt | Detailed Analysis

Added: 2026-05-09

[00:02:08]I hope I'm audible now. Please confirm quickly. Please confirm I'm audible.

[00:02:31]Yes, perfect. Thank you very much. So coming back to the discussion that this paper has been a quite interesting paper and the MCQs have been quite simple and comfortable. So let me without any delay, let me spend some spend some good time on explaining the MCQs and the answers for that. So first case scenario of income tax.

[00:03:01]So the first case scenario was very simple wherein there's one person who has got salary income and apart from salary income he has got one house property which he has gifted to his wife and wife further gifted to daughter-in-law and there's a rental income on it. basis that a question has been framed and they have asked the MCQ here. So let me discuss the answers with you. The first thing so first if you see there the first question the MCQ they he that Rashmi is also a child accountant having professional income and results are shown under 448. So the first question they have asked what is the due date for what is the due date for advanced payment of tax.

[00:03:41]So first question they have asked what is the due date for advanced payment of tax the answer is option C rashmi needs to deposit the entire amount of advanced tax by 15th of March of 11th financial year option C is the answer for first bit second bit in who is the answer rental income will be taxed whether it is Vijay or Rashmi or Anushka the answer is option B my dear friends it will be taxable in hands of Vijay and nothing shall be taxable in hands of Rashmi and Anushka because of the clubbing provisions and the third question they have asked what will be the answer if the property is gifted by Vijay to Banu his major son instead of by Rashmi. If it is given to major son then the provisions of clubbing will not apply.

[00:04:17]Answer is option A. It will be taxable in the hands of Banu and nothing will be taxable in the hands of Vijay. Next fourth they have asked what is the amount of deduction available to Vijay in respect of contribution to pension scheme. In the question they have clearly given that he did not opt out of default. When he has not opted out of default that means he's in default tax regime. In that case deduction will not come under ATCCD 1. It will not come under ATCCD 1B. But deduction will definitely come under ATCCD 2. And deduction at RTCC22 is maximum 14% of salary. So the answer in this case is 2 lakh 1,600 which is nothing but option C my dear friends. Next case scenario two slum sale provision. During lectures, during revision lot of times I told you that slum sale is an interesting provision and this time I was surprised to see that MCQ has come with respect to case study from slum sale. Generally one big question will come but this time MCQ has come from slum sale. So here the first question they have asked compute the amount of net worth. If you have to compute net worth net worth is very clear assets minus liabilities. And when I say assets any change on account of revaluation is completely ignored. And for depreciable assets we always take WDV as per income tax. In the question they have given land 2,500 2,500 lakhs.

[00:05:35]And in liability they have given revaluation reserve is 500 rupees created due to upward revaluation. So before revaluation the value is 2,000 lakhs. In the question they have also given land was purchased at 1,200 lakhs but that is absolutely irrelevant. So on 2,000 lakhs 40% will come to 800. On plantary 40% is 1,000. Data 25% is 150.

[00:05:58]Closing stock 40% is 333.33.

[00:06:02]Other assets 40% is 3 40% is 320. But out of the 320 is related to cash bank balance. 200 is related to goodwill on which depreciation is not charged. If I charge depreciation of 25% it comes to 150. So by taking all the total the net worth is working out to 2053.33.

[00:06:22]The answer is option B. And sixth question compute capital gain or loss.

[00:06:27]The sale price is 1750 lakhs. From 1750 lakhs from 1750 lakhs I'll reduce the expenses on transfer and I'll also reduce the net worth. and the expense on transfer is given as 20,000 35,000 which is nothing but 55,000 which comes to 0.55 and I'll also reduce the net worth so the answer is coming to long-term capital loss of 33.88 88 lakhs. So that is the answer for option that is that that's that's the answer for this question my dear So, sixth question answer is D.303.88 lakhs. A student is telling screen is not visible. Just a second my dear friends. I'll immediately connect it. 1 minute.

[00:08:25]There is some issue with the screen but the point is sixth question answer is 303.88 88 lakhs and the seventh question with respect to TDS the answer is option C 700 and the eighth question they have asked about portfolio investors non-resident where they're trading in shares and securities the answer is option C capital gains that is answer for that eighth question next with respect to coming forward to GST that is with respect to income tax now with respect to GST the ninth question where they asked about 3B and the interest calculation the Answer is option D 9991. And the 10th question they have asked about the concept of TCS. TCS should always be on sales minus sales return. So effectively the rate of TCS is 0.25% 5%.5%. The answer is option C 1 1925.

[00:09:14]And case scenario with respect to GST where they have asked with questions with respect to due date of invoice, place of supply and also with respect to and and also with respect to the discussion on effective date of registration. For the 11th question, the due date for which invoices must be issued is 26th September 2025. And 12th question, the place of supply for the transaction is option 8, Tamil Nadu. And the 13th question the answer is 10th August 2025. That is the time limit to file GST ITC01. And the 14th question effective date of registration is 14th April 2025 because registrations are applied within 30 days from the date of being liable. And 15th question the tax payable is 56,000 each under CGST and SGST.

[00:10:01]And the 16th question import of service that is taxable is 1 lak 50,000. The reason being very clear that for 1 lakh 50,000 service was paid but it is not in the course of furtherance of business as per section 71B it is regarded as supply. So 16th question answer is option B 1 lakh 50,000.

[00:10:20]So these are the interesting options that has come up in the examination. A simple MCQ pattern and I'm sure most of the students would have written it very well. So since that screen share some of issue was there, I'll again create a short video and I'll post a YouTube shot with all the MCQ answers as well with PDF. So I'm sure you guys have written the exam really well. So all the very best for the upcoming examination. Do come out with flying colors. Thank you.

[00:10:45]Take care. Bye-bye.