Which Tax rates to use
 

koi bata sakta hai k agar CE-2014 me tax payable maloom karna ho magar examiner ka question ho k calculate the tax payable for the tax year 2012 jesa k CE 2013 k paper me pocha gaya he k tax year ending 2011 to rates konse apply honge? Please reply

[QUOTE=Ammara Khan88;689132]koi bata sakta hai k agar CE-2014 me tax payable maloom karna ho magar examiner ka question ho k calculate the tax payable for the tax year 2012 jesa k CE 2013 k paper me pocha gaya he k tax year ending 2011 to rates konse apply honge? Please reply[/QUOTE]

you have to calculate tax on 2012 rates not on 2014 rates.

[QUOTE=Ahmedmalik;689164]you have to calculate tax on 2012 rates not on 2014 rates.[/QUOTE]

Are you sure? any authentic source?

Unfortunately the students who opted this subject have no guidance whatsoever especially for tax portion

i am Charatered accountant intern so i studied Taxation thoroughly in my syllabus i m 99% sure about this besides some ambigiuties.

[QUOTE=Ammara Khan88;689261]Are you sure? any authentic source?[/QUOTE]

if i answer it elaborately then it stated as for Individual or AOP. taxable incomec is calculated on reciept basis so when the person recieved his incomes in 2012 the amount shall be taxable in 2012 also. but in case he recieve salary in 2014 related to 2012 then that salary is taxable in 2014.
for comapny taxable amount can be calculated on accrual basis.

Salary received in arrears is at the discretion of tax payer to be included in current tax year or the year for which it is received

Source: Synopsis of Taxation

salary in arrears is taxable only in exceptional case it will only allowe in arrears after the approval of commissioner.By default when salary is recieved or available then it is taxable.

You are talking about practicality but we have to solve paper theoretically