Sharma Pvt. Ltd. (“S”) files its return of income for the P.Y. 2023-24 on 30th September 2024 declaring loss of 18,00,000. The rate of income-tax…

Sharma Pvt. Ltd. (“S”) files its return of income for the P.Y. 2023-24 on 30th September 2024 declaring loss of 18,00,000. The rate of income-tax applicable to the company is 25%. The tax auditor of S, in his audit report submitted under section 44AB, has reported a disallowance of 2,80,000 towards personal expenditure of directors as no evidence was produced by S in support of this expenditure. However, S did not disallow the same in its computation and return of income. The return of income was processed by the Centralised Processing Centre making an addition of 2,80,000 towards personal expenditure and the loss u/s 143(1) was computed at 15,20,000. The return of income was selected for scrutiny assessment and by order passed u/s 143(3), the loss as per normal provisions was reduced to 11,60,000 by making an addition of 3,60,000. The assessment was reopened u/s 147 and by order passed u/s 147, the loss as per preceding order u/s 143(3) was converted into income of 3,20,000. Based on the facts of the above case scenario, choose the most appropriate answer to Q.10 to Q. 12 below: