Quiznetik

Income Tax Law and Practices | Set 1

1. The Income Tax Act, was enacted in:

Correct : C. 1961

2. Mr. X has started his business from 2nd Sept,2019 and does not have any other source of Income, his first previous year will start from

Correct : B. 2nd September,2019

3. In Assessment year, the tax will be calculated at

Correct : A. current year rate

4. Assesee means a person from whome

Correct : D. all of the above

5. Agriculture income is exempt in India:

Correct : A. True

6. Agricultural income from foreign is taxable

Correct : A. True

7. Sale of land is a

Correct : A. Capital Receipt

8. Sales of goods is a

Correct : A. Revenue Receipt

9. As the income goes up, the slab of income tax rate goes

Correct : A. up

10. The financial year starts from

Correct : B. 1st April to 31st March

11. Person includes

Correct : D. All of the above

12. Income tax is paid by every individual depending on his

Correct : B. residential status

13. Income tax is a

Correct : A. Direct tax

14. Income tax is collected by

Correct : B. central government

15. Assessee includes any person in respect of whom:

Correct : D. all of the above

16. The residential status of an Individual can be:

Correct : D. All of the above

17. Citizenship is the criteria of assessment

Correct : A. true

18. An individual is said to be resident in India if he stays for_ days during the previous year

Correct : B. 182

19. Income received or deemed to be received in India is taxable for

Correct : D. All of the above

20. Gifts received from relatives on the occasion of marriage would be

Correct : B. exempted

21. Gifts received from others on the occasion other than marriage would be taxable if the aggregate amount exceeds

Correct : A. Rs 50,000

22. As the income goes down, the slab of income tax rate goes

Correct : B. down

23. The calendar year starts from

Correct : A. 1st Jan to 31st Dec

24. Receipt of Income and remittance of income are different things

Correct : A. True

25. Ordinary resident must stay in India for_ days during the previous year

Correct : A. 60 days

26. A resident must stay in India for 730 days during the previous

Correct : C. 7 years

27. A person is said to be of Indian origin if he or his parent were born in

Correct : A. undivided india

28. Receipt by a member from HUF is fully exempt

Correct : A. true

29. Income of minor child clubbed with the income of parents gets an exemption of

Correct : A. Rs 1500

30. To determine the residential status of HUF, the residential status of

Correct : B. karta is considered

31. GST is a………………….

Correct : C. Indirect tax

32. A person with the age of or more is considered as a super senior citizen as per Income tax Act.

Correct : C. 80

33. Assessment year is the period of 12 months commencing from_every year.

Correct : C. 1st April

34. Expenditure incurred on exempted income is.............. as deduction.

Correct : A. Fully Allowed

35. HRA is………………..

Correct : B. Partly Taxable

36. If the assessee is living in own house HRA is…………..

Correct : A. Fully Taxable

37. Children education allowance is exempt up to per month per child for two children.

Correct : A. Rs.100

38. Children hostel allowance is exempt up to per month per child for

Correct : A. 2 child

39. Transport allowance given by the employer to the employee is exempt up to………..

Correct : B. Rs.1600p.m

40. Education allowance is exempted for……..

Correct : C. Two persons

41. Gratuity received by a government employee is.......................

Correct : A. Fully exempted

42. The periodic payment of money for the past service is known as........................

Correct : B. Pension

43. Pension is taxable under_head.

Correct : A. Salary

44. Which of the following is not included in salaryincome.

Correct : C. Family pension

45. Dearness allowance is taxable in the handsof.................

Correct : D. None ofthese.

46. Deduction under section 80 C is available for investments in

Correct : D. All of these

47. Deduction under section 80 CCD is available to investment made in the fund of

Correct : C. Centralgovt.

48. Maximum deduction under section 80CCE is subject to a maximum of

Correct : D. Rs.1,50,000.

49. .Deduction under section 80D is available on

Correct : A. Health Insurance Premium

50. Deduction under section 80 D is subject to

Correct : A. 25,000

51. Deduction under section 80DD is available to

Correct : B. disabled dependent

52. Deduction under sec 80DD is available to the extent of

Correct : A. Rs 75,000

53. Deduction under section 80DDB is available to the extent of

Correct : A. 40,000

54. Deduction under section 80E is available on

Correct : A. education

55. Deduction under 80 QQB is available in respect of

Correct : A. royalty income

56. Every assesse has to file return of income if their taxable income exceeds

Correct : D. basic exemption limit

57. .The due date of filing return of income in case of company is

Correct : A. 30th September

58. if total income is up to 50,000 then the late fees of filing ROI IS

Correct : A. 1,000

59. If total income is up to 5,00,000 then the late fees of filing ROI is

Correct : B. 5,000

60. Sales tax collected from the buyer of the goods is

Correct : D. Profits in lieu of salary

61. Income tax is collected on all types ofincome except .

Correct : A. Agricultural Income

62. The Income Tax Act came into force from .

Correct : D. 1st April 1961

63. The Income Tax Act came into force all over India except .

Correct : D. None of the above

64. As per Income Tax Act, 1961, income tax is charged on the income of at a rate which are prescribed by the Finance Act of relevant assessment year.

Correct : C. Previous year

65. The tax payer liability is determined with reference to his or her .

Correct : B. Residential Status

66. As per the definition of Income, the income includes the following .

Correct : D. All of the above

67. The period of 12 months commencing on the first day of April every year and ending on 31st March is called as .

Correct : B. Assessment year

68. Previous year means the financial year immediately preceding the .

Correct : B. Assessment Year

69. Agricultural income is completely exempted for assessment year .

Correct : A. 1974-75

70. The income from foreign companies by providing the services in project connected with security of India is _________ from tax liability.

Correct : C. 100% exempted

71. An individual is said to be resident in India if .

Correct : C. All of the above

72. The HUF is said to be resident in India if .

Correct : A. The control and management of its affairs is wholly or partly situated in India

73. The awards and rewards are exempted from Income Tax if .

Correct : C. Payment is in cash or in kind

74. Income received in India whether occurred in India or outside India, the tax incidence in case of resident is .

Correct : A. Taxable as per slabs

75. Income received in India whether occurred in India or outside India, the tax incidence in case of resident but not ordinarily resident is .

Correct : A. Taxable as per slabs

76. Income received in India whether occurred in India or outside India, the tax incidence in case of non-resident is .

Correct : A. Taxable as per slabs

77. Income deemed to be received in India whether occurred in India or outside India, the tax incidence in case of resident is .

Correct : A. Taxable as per slabs

78. The income received and accrued outside India from a business controlled or profession set up in India, the tax incidence in case of resident is .

Correct : A. Taxable

79. The income received and accrued outside India from a business controlled or profession set up in India, the tax incidence in case of non-resident is .

Correct : B. Non-taxable

80. The tax incidence for company or firm in which income received in India and company is resident is .

Correct : A. Taxable

81. The tax incidence for company or firm in which income received in India and company for non-resident is .

Correct : A. Taxable

82. The tax incidence for company or firm in which income received outside India from a source controlled from India for resident is .

Correct : A. Taxable

83. The tax incidence for company or firm in which income received outside India from a source controlled from India for non-resident is .

Correct : A. Non-taxable

84. __________ is exempted from income tax.

Correct : D. (d) Dividend from Indian company

85. Which section of the Income Tax Act exempted incomes have been mentioned?

Correct : A. Section 80C

86. _________ of Income Tax Act is related to residential status.

Correct : A. Section 2

87. Resident of India includes .

Correct : D. Both (a) and (b)

88. The Company may have the residential status as .

Correct : A. Resident or Non-resident

89. The meaning of exempted income is .

Correct : A. Not included in total income

90. The number of income source for a person are .

Correct : D. Any of the above

91. The sum of various heads is called as .

Correct : C. Gross total income

92. The agricultural income includes .

Correct : D. All of the above

93. ____________ comes under agricultural income.

Correct : A. Tea garden

94. The Income Tax Act, 1961 broadly covers .

Correct : D. All of the above

95. The capital gain is chargeable under of Income Tax Act.

Correct : A. Section 45

96. The definition of the person includes .

Correct : D. All of the above

97. Any rent or revenue derived from land which is situated in India and is used for agricultural purpose is .

Correct : C. (c) Exempted from tax

98. Residential Status of an assesses can be .

Correct : B. Different for different assessment year

99. The income of previous year is chargeable to tax in the .

Correct : A. Immediately succeeding assessment year

100. The interest on loan paid by the Government of India to a non-resident outside India is _______________in India.

Correct : A. Not taxable