Mr. Madan observed his tax deduction at source, done by his employer, as Rs. 3,17,910/-. What was his total income (in Rs.) if he neither has to pay any additional tax nor is eligible for any refund?
Explanation:
Let Madan’s income be (x + 5) lakhs.
Then his income tax = 0 × 160000 + 0.1 × 140000 + 0.2 × 200000 + 0.3 × x = (54000 + 0.3x)
Total tax payable including surcharges = 1.03 (54000 + 0.3x)
∴ 317910 = 1.03 (54000 + 0.3x)
∴ x ≈ 848835
∴ Madam’s income = 848833 + 500000 = Rs. 1348835
Hence, option (a).
» Your doubt will be displayed only after approval.
Help us build a Free and Comprehensive Preparation portal for various competitive exams by providing us your valuable feedback about Apti4All and how it can be improved.