1. Deduction allowed from annual value is .

A. interest on loan for constitution

B. interest on loan for repair

C. statutory deduction

D. all of the above

Correct : D. all of the above

2. An individual assesses can show maximum loss of …………….from a selfoccupied residential house property.

A. 1,50,000

B. ` 30,000

C. 20,000

D. ` 5,00,000

Correct : A. 1,50,000

3. The Annual Value has been defined under of Income Tax Act, 1961.

A. section 20

B. section 22

C. section 23(1)

D. section 23

Correct : C. section 23(1)

4. When the portion of the house is self-occupied for the full year and portion is self-occupied for the whole year, the annual value of the house shall be determined by .

A. the full annual value of the house the proportionate annual value of selfoccupied portion for the whole year shall be deducted

B. its present standard value

C. all of the above

D. none of the above

Correct : A. the full annual value of the house the proportionate annual value of selfoccupied portion for the whole year shall be deducted

5. If fair rent is not gives, then assume………….as fair rent.

A. actual rent

B. standard rent

C. average rent

D. none of the above

Correct : A. actual rent

6. Rent received by original tenant from sub-tenant is taxable under the head

A. income from house property

B. income from other sources

C. income from capital gain

D. none of the above

Correct : B. income from other sources

7. The net annual value of house let out is ` 1,00,000 and actual amount spent by the assessee on repairs and insurance premium is ` 20,000. The amount of deduction allowed under Section 24(a) shall be .

A. ` 35,000

B. ` 45,000

C. ` 30,000

D. ` 25,000

Correct : C. ` 30,000

8. Rent from House Property let out by an assessee to his employees when such letting is incidental to his main business will be chargeable to tax under head .

A. profit and gain from business and profession

B. income from capital gain

C. income from house property

D. all of the above

Correct : A. profit and gain from business and profession

9. When annual value of one-self occupied house is nil, the assesses will be entitled to the standard deduction of .

A. 10%

B. 20%

C. nil

D. none of the above

Correct : C. nil

10. Gross annual value shall be higher of .

A. expected rent

B. actual rent received or receivable

C. all of the above

D. none of the above

Correct : C. all of the above

11. Income from property held under trust for charitable or religious purposes is .

A. exempted from tax

B. taxable @ 10%

C. taxable @ 20%

D. none of the above

Correct : A. exempted from tax

12. For computation of Gross Annual Value, if actual rent is more than expected rent, then we select the .

A. actual rent

B. expected rent

C. any of the above

D. none of the above

Correct : A. actual rent

13. The charging section of the income under the head capital gains is :

A. section 15

B. section 17

C. section 10

D. section 45 (2)

Correct : D. section 45 (2)

14. Which of the following is not a requisite for charging income-tax on capital gains –

A. the transfer must have been effected in the relevant assessment year

B. there must be a gain arising on transfer of capital asset

C. capital gains should not be exempt u/s 54

D. capital gains should not be exempt u/s 54ec

Correct : A. the transfer must have been effected in the relevant assessment year

15. The following shall not be regarded as capital asset:

A. urban land

B. securities held by a foreign institutional investor as per sebi act, 1992

C. archaeological collections

D. motor car

Correct : D. motor car

16. The following shall be regarded as capital asset:

A. gold jewellery held by jeweller as sit trade.

B. securities held by fii as per sebi act, 1992, held as stock in trade.

C. motor car held by motor car manufacturer as sit

D. none of above

Correct : B. securities held by fii as per sebi act, 1992, held as stock in trade.

17. The following shall not be regarded as capital asset:

A. jewellery

B. rural agricultural land

C. archaeological collections

D. personal residential house

Correct : B. rural agricultural land

18. The following shall be regarded as capital asset:

A. jewellery

B. sculptures

C. archaeological collections

D. all of the above

Correct : D. all of the above

19. Capital asset excludes all except

A. stock-in-trade

B. personal effects

C. jewellery

D. agricultural land in india.

Correct : C. jewellery

20. Which of the following are included in the jewellery -

A. ornaments made of gold, silver and platinum.

B. precious metals whether or not worked or sewn into any wearing apparel.

C. semi-precious stones.

D. all of the above.

Correct : D. all of the above.

21. A short term capital asset means a capital asset held by the assessee for not more than:

A. 12 months immediately preceding the month of its transfer

B. 24 months immediately preceding the date of its transfer.

C. 36 months immediately preceding the date of its transfer.

D. none of the above.

Correct : C. 36 months immediately preceding the date of its transfer.

22. In terms of section 2(42A), listed securities are treated as long-term capital asset, if they are held for a period of more than –

A. 12 months

B. 36 months

C. 24 months

D. 48 months

Correct : A. 12 months

23. A Long term capital asset means a capital asset held by the assessee for more than:

A. 12 months immediately preceding the month of its transfer.

B. 24 months immediately preceding the date of its transfer.

C. 36 months immediately preceding the date of its transfer.

D. none of the above.

Correct : C. 36 months immediately preceding the date of its transfer.

24. . A person entered into partnership is known as …………

A. partner

B. people

C. karta

D. none of the above

Correct : A. partner

25. Collective group of persons is known as……..

A. firm

B. society

C. person’

D. none of the above

Correct : A. firm

26. …………..cannot become a partner.

A. minor

B. partner

C. firm

D. society

Correct : A. minor

27. The payment is authorized by, and is in accordance with the term of partnership deed according to sec………….

A. sec. 40(b)(ii)

B. sec. 40(b)(iii)

C. sec. 50(b)(ii)

D. none of the above

Correct : A. sec. 40(b)(ii)

28. …………..is an obligation annexed to the ownership of property.

A. trust

B. firm

C. company

D. karta

Correct : A. trust

29. The person who accepts the confidence is called ………….

A. trustee

B. karta

C. firm

D. aop

Correct : A. trustee

30. The subject matter of the trust is called …………….

A. trust property

B. own property

C. own furniture

D. none of the above

Correct : A. trust property

31. The trust should be one established in accordance with law and its objects should fall within the definition of the term ………….

A. charitable purposes

B. work purpose

C. assessment purposes

D. to earn profit purpose

Correct : A. charitable purposes

32. Joint Commissioners are appointed by…………

A. central government

B. state government

C. district government

D. gram panchayat

Correct : A. central government

33. ITR -5 is related to :

A. for individuals

B. for huf.

C. for firms, aops and bois.

D. for companies.

Correct : A. for individuals

34. Tax refund has to be claimed within :

A. five years

B. same year

C. one year

D. next year

Correct : C. one year

35. In the absence of the individual assesses, return of income can be signed by …………………

A. legal heir

B. spouse.

C. any person.

D. authorized person

Correct : D. authorized person

36. Amount of deduction in case of a person with severe disability under section 80U will be:

A. rs. 50,000

B. rs. 75,000

C. rs. 1,00,000

D. rs. 1,50,000

Correct : C. rs. 1,00,000

37. Deduction under section 80C to 80U cannot exceed:

A. gross total income

B. total income

C. income from business or profession

D. income from house property

Correct : A. gross total income

38. Payment of Rs. ` 45,000 made in cash towards purchases of medicines. The amount of disallowance under section 40A(3) is -

A. rs 45,000

B. rs 30,000

C. nil

D. rs 20,000

Correct : A. rs 45,000

39. Rental income from the business of leasing out properties would be taxable under the head_______

A. income from house property

B. income from other sources

C. income from pgbp

D. income from capital gain

Correct : C. income from pgbp

40. As per Section 2(e a), which of the following is an asset in case of an individual:

A. cash in hand up to rs. 50,000

B. shares

C. debentures or bonds

D. motor car used for official purposes

Correct : A. cash in hand up to rs. 50,000

41. Income Tax is levied on the ___________ of a person.

A. total income

B. total income-debt

C. gross total income

D. net income-debt perquisites

Correct : A. total income

Quiznetik

Business Taxation | Set 2

1. Deduction allowed from annual value is .

2. An individual assesses can show maximum loss of …………….from a selfoccupied residential house property.

3. The Annual Value has been defined under of Income Tax Act, 1961.

4. When the portion of the house is self-occupied for the full year and portion is self-occupied for the whole year, the annual value of the house shall be determined by .

5. If fair rent is not gives, then assume………….as fair rent.

6. Rent received by original tenant from sub-tenant is taxable under the head

7. The net annual value of house let out is ` 1,00,000 and actual amount spent by the assessee on repairs and insurance premium is ` 20,000. The amount of deduction allowed under Section 24(a) shall be .

8. Rent from House Property let out by an assessee to his employees when such letting is incidental to his main business will be chargeable to tax under head .

9. When annual value of one-self occupied house is nil, the assesses will be entitled to the standard deduction of .

10. Gross annual value shall be higher of .

11. Income from property held under trust for charitable or religious purposes is .

12. For computation of Gross Annual Value, if actual rent is more than expected rent, then we select the .

13. The charging section of the income under the head capital gains is :

14. Which of the following is not a requisite for charging income-tax on capital gains –

15. The following shall not be regarded as capital asset:

16. The following shall be regarded as capital asset:

17. The following shall not be regarded as capital asset:

18. The following shall be regarded as capital asset:

19. Capital asset excludes all except

20. Which of the following are included in the jewellery -

21. A short term capital asset means a capital asset held by the assessee for not more than:

22. In terms of section 2(42A), listed securities are treated as long-term capital asset, if they are held for a period of more than –

23. A Long term capital asset means a capital asset held by the assessee for more than:

24. . A person entered into partnership is known as …………

25. Collective group of persons is known as……..

26. …………..cannot become a partner.

27. The payment is authorized by, and is in accordance with the term of partnership deed according to sec………….

28. …………..is an obligation annexed to the ownership of property.

29. The person who accepts the confidence is called ………….

30. The subject matter of the trust is called …………….

31. The trust should be one established in accordance with law and its objects should fall within the definition of the term ………….

32. Joint Commissioners are appointed by…………

33. ITR -5 is related to :

34. Tax refund has to be claimed within :

35. In the absence of the individual assesses, return of income can be signed by …………………

36. Amount of deduction in case of a person with severe disability under section 80U will be:

37. Deduction under section 80C to 80U cannot exceed:

38. Payment of Rs. ` 45,000 made in cash towards purchases of medicines. The amount of disallowance under section 40A(3) is -

39. Rental income from the business of leasing out properties would be taxable under the head_______

40. As per Section 2(e a), which of the following is an asset in case of an individual:

41. Income Tax is levied on the ___________ of a person.