From the following information calculate the Income-tax Paid during the year.

Provision for tax on 31 March 2020 - ₹30,000
Provision for tax on 31 March 2021- ₹20,000
Provision for tax as per Statement of Profit and Loss - ₹1,00,000

₹1,10,000

The correct answer is option 1- ₹1,10,000.

Opening balance of Provision for tax - 30,000
Add : Provision as per P&L - 1,00,000
Less : Closing Balance of Provision for tax-20,000
Tax Paid - 1,10,000

PROVISION FRO TAX ACCOUNT