Given is the summarized statement of cash pertaining to Doctor, Abhinay for the previous income year. Receipts Amount Payments Amount To Balance b/d…

Given is the summarized statement of cash pertaining to Doctor, Abhinay for the previous income year.

Receipts	Amount	Payments	Amount
To Balance b/d -		By Office rent paid	50,000
Cash in hand	50,000
Cash at Bank	200,000	By Purchased of computer on Falgun	90,000
To Patient examination fees	850,000	By Telephone & communication expenses	30,000
To Patients counselling fees	300,000	By Salary to assistants	200,000
To Consultation fees after TDS	170,000	By Life insurance premium (Own)	50,000
To Dividend received	40,000	By Research and development	80,000
To Interest on investment	120,000	By Other office expenses	120,000
To Lottery income received	30,000	By Water/Electricity expenses	30,000
To Other professional incomes	70,000	By Refreshment & hospitality expenses	20,000
To Visiting fees	100,000	By Insurance premium of office	15,000
To Salary received from part time lecturer at NAME institute	170,000	By Donation paid	50,000
		By Balance c/d	1,365,000
Total	2,100,000	Total	2,100,000

Further information:

a. Other professional incomes includes: i. Bad debt recovered Rs.10,000 which not allowed in previous year.

ii. Income from pathological test Rs. 50,000

iii. Gifts received from patients Rs. 10,000

b. Water/electricity expenses are used equally for professional and personal purpose.

c. Outstanding office salary Rs. 30,000 is yet to be paid.

d. Visiting fees includes Rs. 2,000 relating to three years ago professional income.

e. Advance consultation fees Rs. 50,000 is not shown in above receipts account.

Required: a. Assessable (Net) income from profession

b. Statement of taxable income

c. Tax liability