Kindly help me solve the following questions:- Mr. Raza purchased…
Question Kindly help me solve the following questions:- Mr. Raza purchased… Kindly help me solve the following questions:- Mr. Raza purchased 10,000 shares of ABC Limited (a non-listed company) @ Rs.15 per share. He incurred Rs.1,000 on the acquisition/ transfer of shares. During the year he disposed of all the shares @ Rs. 20 per share and paid Rs.1,500 as commission to the broker. Compute the amount of capital gain.Considering the facts of the earlier question, assume that Mr. Raza sold the shares after one year of the purchase.Mr. Aadil purchased 50,000 shares of Rs.10 each, of an unlisted public company in July 2007 at the rate of Rs. 150 per share. In August 2008 he received bonus shares, in the ratio of 1 bonus share for every 5 shares held. In May 2012 he sold 80% of his bonus shares at a price of Rs. 135 per share.Ms. Saima inherited a painting from her father after his death nine years ago. The painting was valued at Rs. 500,000. On April 1, 200B she gifted the painting to her brother who came from Canada after five years. He went back to Canada after staying in Pakistan for a period of two months. The value of the painting was Rs.1.0 million when it was gifted.In 200D, Mr. Fazil the father of Mrs. Vakeel gave her 1,000 shares of furniture Inc. USA, a company listed on the New York Stock Exchange, by way of a gift. Mr. Fazil had purchased those shares in 200A at a cost of USD 10 per share when he was working in the USA. The dollar-rupee parity at the time of purchase was USD 1 = PKR 58. The fair market value of the shares at the time of transfer to Mrs. Vakeel was USD 25 (USD 1 = PKR 60). Mrs. Vakeel disposed of the shares during the year at a price of USD 60 per share. The dollar-rupee parity on the date of disposal was USD 1 = PKR 80.Mr. A purchased a building on 5.5.20X2 at a cost of Rs.8 million and incidental expenses of Rs.700,000 were also incurred. On 30.5.20X5 he disposed of the building at Rs.31 million and incidental expenses were Rs.900,000. He also paid 1% advance tax on sale value at the time of sale. Calculate his tax liability on this transaction.Zaheer sold a painting to his brother on 10.4.20X7 for Rs. 2,000,000. Zaheer had purchased this painting for his residence, in an auction on 14.8.20X3 for Rs.1,800,000. Under the provisions of the income tax ordinance 2001, compute taxable income or loss, under the correct head of income for the tax year 20X7.Haris sold two of his personal vehicles during the current year and earned a profit of Rs. 550,000. Discuss the taxability of profit earned by Haris in the context of capital gain or loss.On 1.7.20X4, Mr. A purchased two sculptures for Rs.410,000 and Rs.475,000 respectively, on 30.11.20X8, during the shifting of his house, he lost both the sculptures. On 15.1.20X9, he received an insurance claim of Rs.940,000 in a single transaction against the loss of two sculptures. The fair market value of both the sculptures at the time of loss was estimated at Rs. 360,000 and Rs.540,000. Compute Mr. A’s taxable income or loss for this transaction.EMPLOYEE SHARE SCHEME (CAPITAL GAIN) For several years, Mr. Saadiq has been the CEO of AF Pakistan Ltd. (AFPL). He was given 2,000 shares on 1.6.2016 by AF AG, Germany (the parent company of AFPL) at a price of 2.5 per share. The market price on that date was 8.2 per share. The shares were transferable on completion of one year of service, from the date of issue of shares. The market price of the shares as of 1.6.2017 was 12.5 per share. On 10.4.2018, Mr. Saadiq sold all shares at 13 per share. He paid a commission of 50 to the brokerage house.The relevant exchange rates are as follows:1.6.2016 1= Rs.118.101.6.2017 1= Rs.121.4010.4.2018 1= Rs.123.90Required: compute the amount to be included in the taxable income of Mr. Saadiq for tax years 2016, 2017, and 2018 and specify the head of income under which the income would be classified. Law Social Science Tax law LAW 101 Share QuestionEmailCopy link Comments (0)
