2. Out of the following which is a revenue receipt _______________-
Correct : C. Interest from investments
3. Body of individual should consist of ____________
Correct : A. Individual only
4. A new business was set up on 15-11-2017 and it commences its business from 1-12-2017. The first
previous year in this case shall be _______________________
Correct : A. 15-11-2017 to 31-3-2018
5. Shivaji University is assessable under the Income Tax Act as _______________.
Correct : B. An artificial Juridical Person
6. In which year is the income tax liability computed_______________
Correct : A. Assessment Year
7. Income earned during what period is taxed____________
Correct : B. Previous Year
8. Whose income is chargeable to Income tax _______________
Correct : C. Income of all persons
9. One who is liable to pay the income tax__________________
Correct : D. An Assessee
10. Assessment year is the period of twelve months commencing on ________________
Correct : D. The first day of April every year
11. Previous year means the _____________
Correct : A. Financial year immediately after the assessment year
12. Mr. Joshi runs a chemist`s shop, accounting year of which is the financial year. On November -9,2017.He sets up a chemical factory. What is the previous year for the assessment year 2018-19 for the above two businesses___________________
Correct : D. Shop: 1-4-2017 to 31-3-2018 and factory 9-11-2017 to 31-3-2018
13. A company joining with two other Companies in a Joint venture is treated under Income tax laws as __________.
Correct : B. An Association of persons
14. Residential status is to be determined for ____________
Correct : A. Previous year
15. Income which accrue or arise outside India but are received directly into India are taxable in case of
________
Correct : D. All these assesses
16. Total income of person is determined on the basis of his ________________
Correct : A. Residential Status in India
17. Income which accrue or arise outside India and also received outside India is taxable in case of
__________
Correct : A. Resident only
18. Income received in India ____________
Correct : C. Is taxable for a resident, a resident but only ordinarily resident non -resident
19. Income which accrue in India from a business controlled from India _________________
Correct : B. Is not taxable only for non – resident
20. Income accruing in Japan and received there is taxable in India in the case of ______________
Correct : A. Resident and ordinarily resident only
21. Mr. Manmohan Sharma goes out to India every year for 274 days. For the assessment year 2018 -19,
he is ____________________
Correct : B. A resident but not ordinarily a resident
22. M.a chartered accountant is employed with M ltd, as an internal auditor and requests the employer to call the remuneration as internal audit fee.M. shall be chargeable to tax for such fees under the head __________
Correct : A. Income from salaries
23. M,who is entitled to a salary of Rs.20,000 p.m took an advance of Rs.50,000 against the salary in the
month of March ,2018. The gross salary of m for assessment year 2018-19 shall be _________
Correct : B. 2,40,000
24. M, who is entitled to salary of Rs.12,000 p.m. took advantage salary from his employer for the month of March, 2018 on 31-3-2018.The gross salary of M for assessment year 2018-19 shall__________
Correct : B. 1,68,000
25. Salary of M becomes due on 1st of next month and it is paid on 7th of that month. For the assessment year 2018-19, the salary of M shall be taken from ________
Correct : B. March 2017 to February 2018
26. M.Ltd announced increase in D.A. on 21-03-2017 with retrospective effect from 21-3-2012 and the same were paid on 6-04-2017. The arrears of D.A. shall be taxable in the previous year ________
Correct : B. 2017-18
27. Un -commuted pension received by a Government employee is ____________
Correct : B. Taxable
28. M.claimed the exemption of gratuity in the past to the extent of Rs.2,50,000.He was entitled to the gratuity from the present employer amounting to Rs.2,00,000 in the previous year 2017-18. M can claim exemption to the maximum extent of ___________
Correct : A. Rs.2,00,000
29. Employee M is neither a government employee nor covered under payment of gratuity Act, 1972. He has completed 16 years and 8 months of service. The number of completed years considered for gratuity exemption shall be _____________
Correct : B. 16 years
30. Compensation received on voluntary retirement is exempt under sec.10 (10c) to the maximum extent
of ___________
Correct : C. Rs.5,00,000
31. M is entitled to children education allowance @80 p.m per child for 3 children amounting
Rs.240p.m. It will be exempt to the extent of ___________
Correct : B. Rs.160 p.m
32. Entertainment allowance in case of government employee is _________________
Correct : D. First included in full in gross salary and thereafter deduction allowed from gross salary under section 16 (ii)
33. Pension received by an employee of the central or state government who has been awarded “Param
Vir Chakra” _____________
Correct : B. Is exempt from tax
34. Children education allowance is ____________
Correct : C. Exempt to the extent of lower of allowance received or the lump sum amount prescribed, irrespective of actual expenditure.
35. Leave travel concession is _________
Correct : A. Exempt up to lower of the amount actually spent or the prescribed limits.
36. M.has taken a house on rent and sublets the same to A, income of M from such house property shall
be taxable under the head _____________
Correct : B. Income from other sources
37. Municipal valuation of the house is Rs.1,00,000 fair rent Rs.1,20,000, fair rent Rs.1,20,000, standard rent Rs.1,10,000 and actual rent received or receivable is Rs.1,40,000. The gross annual value in this case shall be ____________
Correct : A. 1,30,000
38. A has two house properties. Both are self-occupied. The annual value of ____
Correct : B. One house shall be nil
39. Municipal valuation of the house is Rs.1,20,000, fair rent 1,40,000, standard rent Rs.1,30,000 and
actual rent received or receivable is Rs.1,25, 000.The gross annual value in this case shall be ______
Correct : C. 1,40,000
40. A has two house properties. Both are self-occupied. The annual value of _________
Correct : B. One house shall be nil
41. An assessee has borrowed money for purchase of house and interest is payable outside India. Such
as interest shall ____________
Correct : C. Be allowed as deduction if the tax is deducted at source
42. Municipal tax is deducted from__________
Correct : B. Gross annual value
43. In case the property is owned by co -owners and it is self-occupied by all co -owners. The annual
value of such house property ____________
Correct : B. For each co-owner shall be nil
44. A house property with fair rent Rs.1,20,000 is neither let out nor self-occupied throughout the
previous year. Its annual value shall be ________
Correct : A. Rs.1,20,000
45. Unrealized rent is a deduction from ______-
Correct : A. Gross annual value
46. Dhanesh is a member of house building cooperative society. The society is the owner of the flats constructed by it. One of the flats is allotted to Dhanesh. The income from that flat will be assesses in the hands of ____________
Correct : B. Dhanesh
47. Following will be taxable as income from house property_______-
Correct : B. Letting of an office building
48. Municipal taxes to be deducted from GAV should be _______
Correct : B. Paid by the owner during the previous year
49. Standard deduction under section 24(a) from income from House property is _______
Correct : A. 1/3 rd of NAV
50. Interest on borrowed capital accrued up to the end of the previous year to prior to the year of
competition of construction is allowed__________
Correct : B. In 5 equal annual installments from the year of competition of construction.
51. Salary, bonus commission or remuneration due to or received by a working partner from the firm is
taxable under the head_______
Correct : C. Business income
52. Perquisite received by the assesses during the course of carrying on his business or profession is
taxable under the head _______
Correct : C. Business / Professional Income
53. Interest on capital or loan received by a partner from a firm is __________
Correct : B. Taxable as business and profession income
54. Export incentives received by an assessee are __________
Correct : B. Taxable as business income
55. M.Who was carrying on agency business, received a sum of Rs.5,00,000 from his principal for
termination of agency. Compensation so received shall be _________-
Correct : B. Fully taxable as business income
56. Depreciation is allowed in case of __________
Correct : C. Tangible and intangible assets
57. If the asset of a particular block is acquired and put to use during the previous year for less than 180
days, the assessee shall be entitled to depreciation___________
Correct : B. At 50% of normal rate
58. Which of the following tax is allowed as deduction while computing the business income________
Correct : C. GST
59. where the amount of an expenditure claimed as deduction exceeds Rs.10,000, it should be paid by ______