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Law of Taxation

Semester 3 · 20 topics in 5 units

Past question papers for Law of Taxation

Unit I 4 topics

  1. Tax: meaning, kinds, and tax distinguished from fee and cessWhat a tax is, its characteristics and canons, direct and indirect taxes, and the tests that separate a tax from a fee and a cess, from Shirur Mutt to the 2024 royalty decision.8 min
  2. Tax evasion, tax avoidance, tax planning and retrospective taxationWhere lawful planning ends and avoidance and evasion begin, the swing from Westminster to McDowell to Azadi Bachao and Vodafone, the general anti-avoidance rule in Chapter XI of the Income-tax Act, 2025, and the limits on retrospective tax laws.8 min
  3. The federal base of taxing power: distribution of taxing powers under the ConstitutionArticle 265, the separate tax entries in the Union and State Lists, Article 246A and the concurrent GST power, the residuary power, the sharing of revenue under Articles 268 to 281, and the Finance Commission.8 min
  4. Limits on the taxing power: inter-governmental immunity, fundamental rights, the commerce clause and delegationArticles 285 and 289 on taxing each other's property, taxes tested against Articles 14 and 19, the freedom of trade under Articles 301 to 304 and the end of the compensatory tax doctrine in Jindal Stainless, and how far taxing power can be delegated to the executive, the States and local bodies.8 min

Unit II 9 topics

  1. Income-tax Act, 2025: basis of charge, basic concepts and agricultural incomeThe 2025 Act that replaced the 1961 Act from 1 April 2026, the tax year, the charge under section 4, person, assessee, deemed assessee and assessee in default, income and the five heads, and agricultural income with the Raja Benoy Kumar test and the foreign-land problem.8 min
  2. Residential status and incidence of taxThe residence tests in section 6 of the Income-tax Act, 2025 for individuals, HUFs, firms and companies, not ordinarily resident and deemed residents, the scope of total income under section 5, deemed accrual under section 9, and the foreign employee's salary problem.6 min
  3. Income from salariesThe charge on salary under section 15 of the Income-tax Act, 2025, what salary, perquisites and profits in lieu of salary include, exempt allowances and terminal benefits, the standard deduction, and a format for computing taxable salary.6 min
  4. Income from house propertyThe charge on annual value under sections 20 to 25 of the Income-tax Act, 2025, how annual value is fixed, self-occupied property, the 30% and interest deductions, arrears and unrealised rent, co-owners and deemed owners, and set-off of house property loss.7 min
  5. Profits and gains of business or professionWhat is chargeable under section 26 of the Income-tax Act, 2025, the specific deductions and depreciation, the general deduction for expenditure wholly and exclusively for business, the disallowances, deemed profits, presumptive taxation, books of account and audit.6 min
  6. Capital gains and income from other sourcesCapital asset, transfer and the charge under section 67 of the Income-tax Act, 2025, short-term and long-term gains and their rates, computation, the reinvestment exemptions, Srinivasa Setty, and the residuary head under section 92 including gifts.7 min
  7. Incomes exempt from tax, Chapter VIII deductions, and set off and carry forward of lossesHow the Income-tax Act, 2025 moves exemptions into Schedules II to VII, the main exempt incomes, the deductions from gross total income in Chapter VIII (formerly Chapter VI-A), the new-regime restrictions, the rebate, and the rules on setting off and carrying forward losses.7 min
  8. Income-tax authorities, returns, e-filing and assessmentThe income-tax authorities and their powers under Chapter XIV of the Income-tax Act, 2025, search, survey and summons, PAN and the return of income (belated, revised, updated), electronic filing on the portal, and the kinds of assessment including reassessment and faceless assessment.8 min
  9. Collection and recovery of tax, TDS, refunds, appeals and revision, penalties and offencesDeduction of tax at source and advance tax under Chapter XIX of the Income-tax Act, 2025, recovery of arrears through notice of demand and the Tax Recovery Officer, refunds and interest, the appeal ladder from Commissioner (Appeals) to the Supreme Court, revision, and penalties and prosecution.8 min

Unit III 3 topics

  1. GST: concept, the 2016 constitutional amendment, dual GST and the GST CouncilWhat GST is and which taxes it replaced, the Constitution (One Hundred and First Amendment) Act, 2016 (the 122nd Amendment Bill), Articles 246A, 269A and 279A, the dual model of CGST, SGST, UTGST and IGST, and the composition, voting and functions of the GST Council after Mohit Minerals.7 min
  2. CGST: supply, levy and collection, reverse charge, registration and tax invoiceThe taxable event of supply under section 7 of the CGST Act, 2017 (sale, transfer, barter, lease, import of services), levy under section 9 including reverse charge and e-commerce operators, composition and exemption, input tax credit, registration under sections 22 to 30 and the tax invoice under section 31.8 min
  3. GSTN and the common portal, GST on imports and exports, and the impact of GSTThe GST Network and the common portal under section 146 of the CGST Act, IGST on imports and zero-rating of exports, the benefits of GST to trade, industry, e-commerce, services and consumers, its effect on GDP and inflation, and the September 2025 two-rate restructuring.6 min

Unit IV 2 topics

  1. IGST, SGST and UTGST, the impact of GST on State revenue, and compensation to StatesThe Centre's power to levy IGST on inter-State supplies and imports, inter-State and intra-State supply and place of supply under the IGST Act, 2017, the State GST law, UTGST for Union territories without legislature, the effect of GST on State finances, and the five-year compensation under the GST (Compensation to States) Act, 2017.6 min
  2. Securities transaction tax and the exclusion of securities from GSTWhy sale and purchase of securities bears no GST, which related services do, and securities transaction tax under Chapter VII of the Finance (No. 2) Act, 2004: taxable transactions, current rates including the 2026 increase on futures and options, collection, and its link with income-tax.6 min

Unit V 2 topics

  1. Customs law: background, levy, ports and warehouses, exemption, assessment, clearance, baggage, post and transitThe Customs Act, 1962 and the Customs Tariff Act, 1975, the charge under section 12 and the taxable event, ports and customs areas, warehousing, exemption under section 25, self-assessment under section 17, clearance of imports and exports, baggage under the Baggage Rules, 2026, postal goods, stores and goods in transit.8 min
  2. Customs law: restrictions on imports and exports, duty drawback, customs authorities, search, seizure and arrest, and SEZ unitsProhibition of imports and exports under section 11 of the Customs Act, 1962 and prohibited goods after Om Prakash Bhatia, drawback under sections 74 and 75, the classes and powers of customs officers, search of persons, arrest, seizure and confiscation after Radhika Agarwal, and the customs treatment of Special Economic Zones.8 min