1. Rate of depreciation on non residential building is.......................
Correct : A. 10%.
2. Rate of depreciation on furniture is........................
Correct : C. 10%
3. Additional depreciation is allowed at half the rate, if the asset is used in the initial year
for.................................
Correct : D. less than 180 days.
4. Under section 44AB ‘specified date’ means, ...............................
Correct : B. 30th september
5. Income from sale of rural Agricultural land is..................
Correct : B. exempted capital gain.
6. What is the time limit for holding of a Financial Asset, to be called Short Term Capital Asset?
Correct : B. not more than 12 months.
7. To be a long term capital asset, a non financial asset should be held more than................
Correct : C. 36 months.
8. Shares held for less than 12 months are......................
Correct : A. short term capital asset.
9. House property held for less than 36 months is........................
Correct : B. short term capital asset.
10. Indexation is applicable to.......................
Correct : D. sale of long term capital assets which are not depreciable assets
11. . Cost of long term debentures are.....................
Correct : B. not eligible for indexing.
12. What is the date on which Fair Market Value of capital assets acquired is determined?
Correct : C. 1.4.1981.
13. FMV on 1.4.81 is applicable to assets.......................
Correct : A. acquired prior to 1.4.81.
14. Cost of improvement incurred prior to 1.4.81 is................
Correct : C. ignored fully.
15. Cost inflation rules for the purpose of long term capital gain has been notified by central government
every year starting from the financial year..................
Correct : C. 1981-82.
16. Short term capital gain on sale of unlisted shares are.................
Correct : A. taxable.
17. Long term capital gain on sale of unlisted shares are........................
Correct : A. taxable.
18. Exemption u/s 54 is allowed when a residential house is sold and the investment is made in
.............................
Correct : A. another residential house.
19. Which one of the following is not an admissible expense
Correct : A. income tax
20. Tax on short-term gain on sale of listed shares is................
Correct : D. 15%.
21. Statutory limit for exemption of compensation received at the time of voluntary retirement (VRS) is.............................
Correct : A. rs. 5,00,000.
22. Deduction from gross Total income is allowed under Sec. 80C up to lower of the Qualifying amount or a maximum of.
Correct : C. rs. 1,00,000.
23. Profits earned from an illegal business are..........................
Correct : A. taxable.
24. Contribution made to an approved research association is eligible for deduction up to.................
Correct : D. 125%.
25. Unabsorbed capital expenditure on scientific research can be carried forward for...............
Correct : C. 8 years.
26. Medical reimbursement is exempt up to .................. if treatment is done in a private hospital.
Correct : C. rs: 15,000
27. Excise duty and sales tax are allowed as deduction if paid before......................
Correct : A. late date of filing of return.
28. Technical know-how acquired after 1.4.98 is eligible for depreciation at...............
Correct : C. 25% p.a.
29. Which of the following is exempted.
Correct : C. foreign allowance
30. Free food provided to employees is exempted upto ...................... per meal.
Correct : B. rs: 50
31. The income from the sale of house hold furniture is ......................
Correct : B. exempted income
32. Deduction for other expenses except interest in the computation of income from house property is
allowable to the extent of .........................
Correct : B. 30% of annual value
33. Preliminary expenses shall be allowed as deduction in...............
Correct : A. 5 instalments.
34. Bad debts allowed earlier and recovered latter on is....................
Correct : A. business income.
35. Under valuation of opening stock is....................
Correct : A. deducted from net profit.
36. Under section 44AB the audit of accounts is compulsory if total sales exceed ..........................
Correct : C. rs: one crore
37. Gifts from clients are...................
Correct : A. professional income.
38. Repairs incurred before installation of an assets is..................
Correct : A. capital expenditure.
39. If a depreciable asset is acquired and used for less than 180 days in a financial year, depreciation
allowed on it is..............
Correct : B. 50% of normal rate.
40. Rate of depreciation on residential building is.................
Correct : A. 5%.
41. The Total income of an individual is Rs: 3,46,994. The rounded off total income will be........................
Correct : C. rs: 3,46,990
42. The income tax payable by an individual is Rs:8,562.55. The rounded off tax payable will be
.........................
Correct : C. rs: 8,560
43. The maximum tax exemption to a senior citizen for the assessment year is ......................
Correct : D. rs: 2,50,000
44. If STT is paid, then STCG tax on the transfer of capital asset is ..............................
Correct : B. 15%
45. Education cess for the A.Y is ................................
Correct : A. 3%
46. According to section ........................ , TDS shall be payable during the financial year in respect of the
total income of the assessee.
Correct : B. 207
47. .................. must be paid according to the provisions of “ Pay As You Earn” Scheme.
Correct : C. advance tax
48. Advance tax is payable when tax payable by an assessee is ........................or more.
Correct : B. rs: 10,000
49. The rate of surcharge payable on tax for the A.Y. 2013-14 is ......................
Correct : D. nil
50. The non-taxable income for the woman assessee is .................................
Correct : B. rs: 1,90,000
51. If S T T is paid, then LTCG tax on the transfer of listed equity shares is ....................
Correct : D. nil
52. Out of income from growing and manufacturing of latex ..................... , is considered as agricultural
income.
Correct : D. 65%
53. For SSIs , a deduction of ..................... % of profit is available to individual assessee.
Correct : C. 25%
54. Donation is deductible u/s .................................
Correct : D. 80 g
55. Tax deduction available to certain industries for the initial few years is called ........................
Correct : A. tax holiday
56. Contribution to RPF is deducted u/s ..................
Correct : A. 80c
57. The maximum amount of deduction under section 80D in the case of a senior citizen is .........................
Correct : C. rs: 20,000
58. Which among the following deduction is available only to disabled persons :
Correct : D. 80 u
59. Section 80C provides for deduction in respect of tuition fee to ....................... children.
Correct : B. two
60. The maximum amount deductible u/s 80GG in respect of rent paid is ........................
Correct : D. rs: 24,000
61. Tax on long term capital gain is..................
Correct : B. 20%.
62. Income from other sources is a.................
Correct : A. residuary head of income.
63. Which one of the following is not an income from other sources?
Correct : D. profit on sale of building.
64. Which of the following income from other sources is not taxable?
Correct : C. dividend from domestic company.
65. Dividends from co-operative society are........................
Correct : B. taxable.
66. Grossing up of interest on securities is required when...................
Correct : A. interest is received after t.d.s.
67. Tax is reduced from casual incomes at....................
Correct : C. 30%.
68. Interest on Bank Term Deposits is subject to tax deduction at source if the interest amount during the
relevant previous year exceeds................
Correct : C. rs: 10,000.
69. Rate of T.D.S for unlisted securities, including cesses is.................
Correct : C. 10%.
70. Speculation Loss can be carried forward for.................
Correct : D. 4years
71. Which of the following is not a capital asset.
Correct : A. stock in trade
72. A partnership firm sold a residential house. The firm will get exemption under section .................... on
capital gains.
Correct : D. sec. 54ec
73. Income of a minor child is included in the total income of ...........................
Correct : C. parent whose income is greater
74. The amount of deduction under section 80DD regarding disability is .....................
Correct : B. rs: 50,000
75. Which of the following is eligible for 100% deduction ?
Correct : C. national sports fund
76. Section C applies on ...................
Correct : A. individual and huf
77. Donation on PM’s National Relief Fund is deductible 100% out of the gross total income of the
assessee, under section ...................................
Correct : C. 80g
78. For the P.Y , 2012-13, the maximum permissible deduction under section 80C is ..............
Correct : B. rs: 1,00,000
79. The rate of surcharge on tax payable is ......................% when taxable income is Rs: 5,57, 500.
Correct : D. nil
80. The basic exemption up to which income is not taxable for an individual resident is ..............
Correct : A. rs: 1,00,000
81. STCL can be set off in the same assessment year from ...............................
Correct : C. both
82. Maximum amount of deduction allowable under section 80CCF is ......................
Correct : B. rs: 20,000
83. Maximum Marginal Rate for the current A.Y. ( 2013-14) is ..................................
Correct : C. 30%
84. Interest n loan taken before 1-4-1999 for construction or repairs of self occupied house shall be
deducted up to Rs: .......................................
Correct : B. rs: 30,000
85. For claiming exemption u/s 54, the assessee should construct the residential property within
.........................
Correct : C. within 3 years after the date of transfer
86. The cost of acquisition of bonus shares allotted on or after 1-4-1981 is ..........................
Correct : C. nil
87. Any some received under key man insurance policy taken on the life of the employee shall be
..........................
Correct : A. taxable under the head business or profession
88. The rent fixed as per municipal valuation is called ............................
Correct : A. municipal value
89. Rent free accommodation is an example for .....................................
Correct : C. perquisite
90. The amount deductible for severe disability u/s 80U is ..........................
Correct : A. rs: 1,00,000
91. When a loan is taken for the education of a child, the father is entitled to deduction u/s
..........................
Correct : C. 80 e
92. Income of a minor child is exempted up to
..........................
Correct : B. rs: 1,500
93. Loss from business can be carried for ...................... years.
Correct : B. 8
94. Income of Benami transactions shall be included in the income of .........................
Correct : A. real owner
95. Dividend from an Indian company is ......................
Correct : B. fully exempted
96. The amount received from URPF is ..........................
Correct : A. taxable
97. ............................ section deals with exempted incomes.
Correct : C. section 10
98. There will be no partial integration, if the agricultural income does not exceed ............................
Correct : D. rs: 5,000
99. Salary on which income tax is borne by the employer is called ....................................
Correct : B. tax free salary
100. Secondary and higher education cess is charged at the rate of .......................... of the amount of
income tax.