Puzzle to dazzle
OUR puzzle to dazzle column is four years old today. Silently and stealthily it has gone about its role of educating netizens on many simple they seem questions. The first puzzle carried is an evergreen one. It reads - A candidate participates in Kaun Banega Crorepati (KBC) and wins Rs 50 lakhs. At this stage he gets a choice whether to continue or not. He can go home with Rs 50 lakhs. It simply means that and income of Rs 50 lakhs has already accrued to him at this stage. Is he/she liable to tax at this stage even if he/she decides to continue with the game? If he/she continues and loses but goes home with the minimum prize of only Rs 3.2 lakhs whether he/she is ineligible for deduction of earned income of Rs 50 lakhs in view of section 58(4) of I-T Act? The question for the netizens is: Whether the contestant is liable to tax on the sum of Rs. 3.2 lakhs or on Rs.50 lakhs.
Want to know the answer? Visit Puzzle to Dazzle.
DDT wishes its sister column and the creator CA Punit Pavan Ved a happy anniversary.