ICAI Taxation Syllabus

Paper 4: Taxation (One paper – three hours – 100 marks)

Level of Knowledge:

Working knowledge Objectives:

(a) To gain knowledge of the provisions of Income-tax law relating to the topics mentioned in the contents below; and

(b) To gain ability to solve simple problems concerning assesses with the status of ‘Individual’; and covering the areas mentioned in the contents below.

Contents:

Part I: Income-tax (50 marks)

1. Important definitions in the Income-tax Act, 1961

2. Basis of charge; rates of taxes applicable for different types of assessees

3. Concepts of previous year and assessment year

4. Residential status and scope of total income; Income deemed to be received / deemed to accrue or arise in India

5. Incomes which do not form part of total income

6. Heads of income and the provisions governing computation of income under different heads

7. Income of other persons included in assessee’s total income

8. Aggregation of income; set-off or carry forward and set-off of losses

9. Deductions from gross total income

10. Computation of total income and tax payable; rebates and reliefs

11. Provisions concerning advance tax and tax deducted at source

12. Provisions for filing of return of income.

Part II: Service tax (25 marks) and VAT (25 marks)

Objective: To gain knowledge of the provisions of service tax as mentioned below and basic concepts of Value Added Tax (VAT) in India.

Service tax (25 marks)

Contents:

1. Service tax – concepts and general principles

2. Charge of service tax and taxable services

3. Valuation of taxable services

4. Payment of service tax and filing of returns

VAT (25 marks)

5. VAT – concepts and general principles

6. Calculation of VAT Liability including input Tax Credits

7. Small Dealers and Composition Scheme

8. VAT Procedures.

Note: If new legislation’s are enacted in place of the existing legislation’s the syllabus will accordingly include the corresponding provisions of such new legislation’s in the place of the existing legislation’s with effect from the date to be notified by the Institute. Students shall not be examined with reference to any particular State VAT Law.