Question 1 (a) Mr. Sahil, resident Indian aged 40 years, a Manufacturer at Chennai, gives the following Manufacturing, Trading and Profit & Loss Account for the year ended 31.03.2024. ### Manufacturing, Trading and Profit & Loss Account for the year ended 31.03.2024 Particulars ₹ Particulars ₹ To Opening Stock 71,000 By Sales 43,50,000 To Purchase of Raw Materials 17,20,500 By Closing Stock 2,00,000 To Manufacturing Wages & Expenses 5,80,500 To Gross Profit 21,78,000 Total 45,50,000 Total 45,50,000 To Gross Profit By Gross Profit 21,78,000 To Administrative Charges 2,90,000 By Dividend From Domestic Companies 15,000 To SGST Penalty Paid (It is not compensatory nature) 7,000 By Winning from Lotteries (Net of TDS) (TDS 4,500) 10,500 To GST Paid 1,10,000 By Profit on Sale of Shares 45,000 To General Expenses 55,000 To Miscellaneous Expenses 1,50,500 To Loss on Sale of Shares 20,000 To Interest to Bank (on Machinery term loan) 60,000 To Depreciation 2,00,000 To Net Profit 13,56,000 Total 22,48,500 Total 22,48,500 Following are the further information relating to Financial Year 2023-2024: (i) Administrative Charges include ₹46,000 paid as commission to brother of Assessee. The Commission amount at the market rate in ₹36,000. (ii) The assessee paid ₹33,000 in cash to a Transport Carrier on 26.12.2023. This amount is included in Manufacturing Expenses. (Assume that the provisions relating to TDS are not applicable on this payment.) (iii) A Sum of ₹4,000 per month was paid as salary to a staff throughout the year and this has not been recorded in books of account. (iv) Bank Term Loan Interest actually paid upto 31.03.2024 was ₹20,000 and the balance was paid in October 2024. (v) Miscellaneous Expenses include ₹10,000 contributed to Prime Minister's Relief Fund. (vi) Loss on Sale of Shares represents shares sold within a period of 6 months from the date of purchase. (vii) Profit on Sale of Shares represents shares held for 2 years & Securities Transaction Tax was paid on it. (viii) Housing Loan Principal repaid during the year was ₹50,000 and it relates to residential property occupied by him. Interest on Housing Loan was ₹2,60,000. Housing Loan was taken from Canara Bank. (Value of house property is ₹45 Lakhs, loan value ₹25 Lakhs and sanction date 31.03.2017). These amounts were not dealt with in the Profit and Loss Account given above. (Assume this housing loan is eligible for 80EE deduction). (ix) Deprecation allowable under the Act to be computed on the basis of following information: Plant & Machinery (Depreciation Rate @15%) ₹ Opening WDV (as on 01.04.2023) 12,00,000 Additions During the year (Used for more than 180 Days) 2,00,000 Total Additions during the year 4,00,000 Note: Ignore Additional Depreciation u/s 32(1)(iia) Compute the total income and tax liability of Mr. Sahil for the A.Y. 2024-25 if he has exercised the option of shifting out of the default tax regime provided under Section 115BAC(1A).