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FIRST SCHEDULE

[See section 4(a)]

COMPUTATION OF GROSS PROFITS

Accounting year ending………..

Item No.

Particulars

Amount of sub-items

Amount of main items

Remarks

*1.

Net Profit shown in the Profit and Loss Account after making usual and necessary provisions.

Rs.

Rs.

 

2.

Add back provision for:

  1. Bonus to employees.
  1. Depreciation

 

  1. Any other Rebate Reserve
  1. Any other reserves.

 

Total of Item No. 2

 

 

 

 

 

Rs.

 

Seefoot-note (1)

 

See foot-note (1)

3.

Add back also:

  1. Bonus paid to employees in respect of previous accounting years.
  1. The amount debited in respect of gratuity paid or payable to employees in excess of the aggregate of -
  2. the amount, if any, paid to, or provided for payment to, an approved gratuity fund; and

 

  1. the amount actually paid to employees on their retirement or on termination of their employment for any reason.

 

 

See foot-note (1)

 

  1. Donation in excess of the amount admissible for income-tax.

 

  1. Capital expenditure (other than capital expenditure on scientific research which is allowed as a deduction under any law for the time being in force relating to direct taxes) and capital losses (other than losses on sale of capital assets on which depreciation has been allowed for income-tax.
  1. Any amount certified by the Reserve Bank of India in term of sub-section (2) of section 34A of the Banking Regulation Act, 1949 (10 of 1949).

 

  1. Losses of, or expenditure relating to, any business situated outside India.

Total of Item No. 3 . . . . . . . .   

Rs.

 

 

 

 

 

 

 

 

 

Rs.

Rs.

See foot-note (1)

4.

Add also income, profits or gain (if any) credited directly to published or disclosed reserve, other than-

  1. capital receipts and capital profits (including profits on the sale of capital assets on which depreciation has not been allowed for income-tax);
  2. profits of, and receipts relating to, any business situated outside India:
  3. income of foreign banking companies from investment outside India. 

Net total of Item No. 4 . . . . . .
 

 

 

 

 

 

 

 

Rs.

 

 

5.

Total of Item Nos. 1,2,3, and 4 . . . . . .

Rs.

 

 

6.

Deduct:

  1. Capital receipts and capital Profits (other than profits on the sale of assets on which depreciation has been allowed for income-tax).
  2. Profits of, receipts relating to, any business situation outside India.
  3. Income of foreign banking companies from investments outside India.
  4. Expenditure or losses (if any) debited directly to published or disclosed reserves, other than-
  5. capital expenditure and capital losses (other than losses on sale of capital assets on which depreciation has not been allowed for income-tax);
  6. losses of any business situated  outside India
  1. In the case of foreign banking companies proportionate administrative (overhead) expenses of Head Office allocable to India business.
  2. Refund of any excess direct tax paid for previous accounting years and excess provision, if any, of previous accounting years, relating to bonus, depreciation, or development rebate, if written back.
  3. Cash subsidy, if any, given by the Government or by any law for the time being in force or by any other agency through budgetary grants, whether given directly to through any agency for specified purposes and the proceeds of which are reserved for such purpose.

Total of Item No. 6 . . . . . .

7. Gross Profit for purposes of bonus (item No. 5 minus Item No. 6)

Rs.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rs.
 

Rs.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Rs.

See foot-note (2)

 

 

See foot-note (2)

 

See foot-note (2)

 

 

 

 

 

 

See foot-note (2)

 

 

See foot-note (2)

 

 

 

See foot-note (2)

 

 

Explanation-In sub-item (b) of Item 3, "approved gratuity fund" has the same meaning assigned to it in clause (5) of section 2 of the Income-tax Act.
Foot-notes-

  1. If, and to the extent, charged to Profit and Loss Account.
  2. If, ant to the extent, credited to Profit and Loss Account.
  3. In the Proportion of India Gross Profit (Item No. 7) to Total World Gross Profit (as per Consolidated Profit and Loss Account adjusted as in Item No. 2 above only).]
 

 

 

 

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