Taxation - 12

Select The Blank
Question For an individual as a citizen of India who leaves India in the
relevant previous year for the purpose of employment has to be in India for
________ days or more during previous year.
Correct Answer 182
Your Answer 182
Multiple Choice Single Answer
Question The due date prescribed for filing the returns of income in Form
No. 2C is
Correct Answer 31st October of the respective Assessment year
Your Answer 31st October of the respective Previous year
Multiple Choice Single Answer
Question The payments for claiming the rebate u/s 88 should :-
Correct Answer Be made out of the income chargeable to tax.
Your Answer Be made out of the income chargeable to tax.
Multiple Choice Single Answer
Question As per which provision and section, every person, company or any
other person shall furnish his returns of income in the prescribed form on or
before the specified due date?
Correct Answer Section 139(1)
Your Answer Section 139(1)
Select The Blank
Question Mrs. X of 45 years has received salary of Rs 5,50,000 she can
claim tax rebate of ________u/s 88C of the IT Act.
Correct Answer Rs. 5,000
Your Answer Nil
Multiple Choice Multiple Answer
Question Rebate is allowed on any subscription made to National Saving
Scheme by :-
Correct Answer An individual , A HUF
Your Answer An individual , A HUF , Partnership Firms
Multiple Choice Multiple Answer
Question For the purpose of taxability of perquisite a specified employee
means :-
Correct Answer The person who is director of a company , The employee
who has substantial interest in the company by having 20% or more of the
voting power , The employee whose income under the head salaries (including
all the taxable monetary payments of salary but excluding the value of any nonmonetary
benefits or perquisites), after allowing deductions under Section 16,
exceeds Rs. 50,000
Your Answer The person who is director of a company , The employee who
has substantial interest in the company by having 20% or more of the voting
power , The employee whose income under the head salaries (including all the
taxable monetary payments of salary but excluding the value of any nonmonetary
benefits or perquisites), after allowing deductions under Section 16,
exceeds Rs. 50,000
Multiple Choice Multiple Answer
Question Following professional institutions have their incomes exempt from
tax :-
Correct Answer Town planning , Company secretary , Accounting
Your Answer Town planning , Company secretary , Accounting
True/False
Question Deduction u/s 80E for repayment of loan taken for higher
education is available if the loan must have borrowed by the assessee himself
or his Father
Correct Answer False
Your Answer False
True/False
Question The consideration for transfer of Capital Asset is received by the
transferor is not material while Capital gain chargeable to tax.
Correct Answer True
Your Answer True
Multiple Choice Multiple Answer
Question Any loans or deposits borrowed or repaid under section 269SS of
the Act provides that the said provisions will not apply to the loans or deposits
accepted by :-
Correct Answer Banking company including cooperative bank and post
office savings bank , Government , Government company
Your Answer Government , Government company , Banking company
including cooperative bank and post office savings bank
Match The Following
Question Correct Answer Your Answer
Employee stock option plan ESOPS ESOPS
Uncommuted Pension Indicates the periodical payment of pension
Indicates the periodical payment of pension
Commuted Pension Indicates the lump sum received in lieu of the
periodical Indicates the lump sum received in lieu of the periodical
Treatment of Perquisite Taxed in the hands of employee as taxable salary
Taxed in the hands of employee as taxable salary
True/False
Question A person who is a Senior Citizen who has attained the age of 65
years is not entitled to the rebate u/s 88 of the Act.
Correct Answer False
Your Answer True
Multiple Choice Multiple Answer
Question For Deduction u/s 54EC from Capital Gains the assessee should
invest the whole or part of the capital gains in the specified assets :-
Correct Answer Within six months from the date of transfer of the long-term
capital asset
Your Answer Within six months from the date of transfer of the long-term
capital asset
Select The Blank
Question Unabsorbed business loss can carried forward and set off in the
subsequent Assessment Years subject to the time limit of ________
Assessment years.
Correct Answer 8
Your Answer 3
Multiple Choice Single Answer
Question Mr. A whose Gross Total Income, before allowing deductions
under Chapter VI-A is Rs. 2,40,000 wants to make the investments in the
following alternative forms Rs. 50,000 in PPF and Rs. 50,000 in Infrastructure
Bonds. The amount of rebate available to him u/s 88 is :-
Correct Answer Rs. 15,000
Your Answer Rs. 15,000
Multiple Choice Single Answer
Question Annual value of any one palace in possession of a former ruler is :-
Correct Answer Exempt
Your Answer Exempt
Match The Following
Question Correct Answer Your Answer
Any subscription made to National Saving Scheme
By an individual or a HUF is eligible for rebate u/s 88 By an individual or a
HUF is eligible for rebate u/s 88
Mr. A, a 70 years old Senior Citizen, has the Gross Total Income of Rs.
2,50,000 during the Assessment Year 2005-2006. He invested Rs. 50,000 in the
tax saving bonds of ICICI on 10th June 2004. His tax liability for the A Y
2005-2006.
RS.12,500 RS.12,500
During the Assessment Year 2005-2006, Mrs. A, age 58 years, has the Gross
Total Income of Rs. 1,45,000 including the dividend from Indian companies
amounting to Rs. 10,000. She invests Rs. 50,000 in PPF during the said
Assessment Year. her tax liabilit is
Rs. 1,000 Rs. 1,000
Any contribution made to a Public Provident Fund
Is eligible for rebate u/s 88 Is eligible for rebate u/s 88
Select The Blank
Question To claim sec 10A deduction unit must be established in ________.
Correct Answer Free Trade Zone
Your Answer Free Trade Zone
Select The Blank
Question Non resident individual satisfies ________ of the basic conditions.
Correct Answer None
Your Answer Any one
Multiple Choice Single Answer
Question Deduction from Capital Gains under Section 54 is for Capital
Gains arising from transfer of :-
Correct Answer House Property
Your Answer House Property
Select The Blank
Question Deduction for remuneration from foreign sources for professors,
teachers etc under Section 80R is limited to ________% of such remuneration
brought in India.
Correct Answer 15
Your Answer 15
Select The Blank
Question Relief under section 89 is available to an employee in respect of the
amount of salary received ________.
Correct Answer In advance or in arrears
Your Answer In the immediately succeeding year.
Select The Blank
Question AOP id formed when two or more ________ come together to earn
income.
Correct Answer Persons
Your Answer Persons
Multiple Choice Multiple Answer
Question Capital Gains arise on account of excess of transfer consideration
over the following amounts
Correct Answer Cost of acquisition , Cost of improvement , Expenditure
incurred wholly and exclusively in connection with the transfer
Your Answer Cost of acquisition , Cost of improvement , Expenditure
incurred wholly and exclusively in connection with the transfer
Multiple Choice Multiple Answer
Question Which of the following amounts credited to P & L Account but not
taxable from Income tax Purposes as Profits from Business and Profession?
Correct Answer Refund of Income tax , Capital Gains , Dividend Income
Your Answer Refund of Income tax , Capital Gains , Dividend Income
True/False
Question Rebates as per the provisions of Section 88 of the Act are not
available from the tax on long-term capital gains.
Correct Answer True
Your Answer True
Select The Blank
Question If assessee owns more than one house properties, he can get benefit
of nil annual value for any one house property ________.
Correct Answer As per his choice
Your Answer As per his choice
Multiple Choice Single Answer
Question What is the treatment of principal amount of loan borrowed for the
purchase or construction of a residential house?
Correct Answer Rebate u/s 88 for such amount not exceeding Rs. 20,000
Your Answer Rebate u/s 88 for such amount not exceeding Rs. 20,000
Multiple Choice Multiple Answer
Question The provisions for payment of gratuity is not allowed under section
40A(7) but, under the head, profits from business and profession, the amount of
gratuity will be allowed as deduction only when :-
Correct Answer The amount of gratuity has actually become payable to the
employees during the previous year , The provision has been made for the
payment of a sum by way of contribution to an approval gratuity , The other
than the above two situations, any provision made for the payment of gratuity is
not allowed as deduction
Your Answer The amount of gratuity has actually become payable to the
employees during the previous year , The provision has been made for the
payment of a sum by way of contribution to an approval gratuity
Multiple Choice Multiple Answer
Question If the Salary is less than Rs. 5,00,000, Standard Deduction will be
the least of the following :-
Correct Answer 40% of the Salary , Rs. 30,000
Your Answer 40% of the Salary , Rs. 30,000
Multiple Choice Single Answer
Question The amount of advance tax payable by non corporate assessees
before 15th December of Previous year is :-
Correct Answer 60% of advance tax payable
Your Answer 100% of advance tax payable
Select The Blank
Question It should be noted that the tax liability of an individual having the
total income of less than Rs ________ is Nil u/s 88D.
Correct Answer 1,00,000
Your Answer 1,00,000
True/False
Question If assessee owns more than one house properties, annual value of
any one of the house property can be treated as nil, and such option can be
changed year on year basis.
Correct Answer True
Your Answer True
True/False
Question Income from subletting is treated as income from house property.
Correct Answer False
Your Answer False
Multiple Choice Multiple Answer
Question Following persons are deemed to be an assessee :-
Correct Answer Legal heir of deceased person , Parents of minor assessee ,
Agent of NRI
Your Answer Legal heir of deceased person , Parents of minor assessee ,
Agent of NRI
Multiple Choice Single Answer
Question Income of notified news agencies is exempt provided :-
Correct Answer They apply their income for collection & distribution of
news
Your Answer They apply their income for collection & distribution of news
Select The Blank
Question The rebate u/s 88B is available to an individual who has attained
the age of ________ or more at any time during the previous year.
Correct Answer 65
Your Answer 65
Multiple Choice Multiple Answer
Question What is the tax treatment of the Lump sum received from
unrecognized provident fund on the retirement or resignation or death of the
employee?
Correct Answer Employee's contribution to PF is exempt from tax , Interest
on employee's contribution is taxable as "Income from Other Sources" ,
Employer's Contribution to PF and interest thereon is taxable as "Income from
salaries"
Your Answer Employee's contribution to PF is exempt from tax , Interest on
employee's contribution is taxable as "Income from Other Sources" ,
Employer's Contribution to PF and interest thereon is taxable as "Income from
salaries"
True/False
Question Any advance tax paid before 31st March is treated as advance tax
paid during the previous year.
Correct Answer True
Your Answer True
True/False
Question A woman assessee below the age of 65 years is also entitled to
rebate u/s 88.
Correct Answer True
Your Answer True
Multiple Choice Single Answer
Question Rent for other amenities like lift, electricity, telephone etc. is taxed
under the heading :-
Correct Answer Income from other sources
Your Answer Income from salaries
Multiple Choice Single Answer
Question The amount of advance tax payable by non corporate assessees
before 15th June of Previous year is :-
Correct Answer Nil
Your Answer 100% of advance tax payable
Multiple Choice Multiple Answer
Question The entertainment allowance received by the Government
employees is included in their salaries and the deduction is allowed to the
extent of least of the following amounts :-
Correct Answer Rs. 5,000 , 1/5th of Salary , Actual amount of Entertainment
Allowance received.
Your Answer Rs. 5,000 , 1/5th of Salary , Actual amount of Entertainment
Allowance received.
True/False
Question Loss from house property can be adjusted against the income from
any other house property.
Correct Answer True
Your Answer True
True/False
Question Annual premium paid by the employer for the accident insurance
policy taken by the employer in the name of the employee is chargeable to tax.
Correct Answer False
Your Answer True
Multiple Choice Single Answer
Question Annual return for TDS from Salaries is to be filed in :-
Correct Answer Form No. 24
Your Answer Form No. 24