General knowledge(GK)/Direct Tax MCQ Set 1 Sample Test,Sample questions

Question:
 A senior citizen female assessee can claim deduction u/s 80u upto.

1. Rs. 50,000.

2. Rs. 60,000.

3.Rs. 75,000

4. Rs. 85,000.


Question:
 A weighted deduction of ______ % is allowed under sec. 35(2AA) in respect of contribution to National
Laboratory.

1.110

2. 150

3. 175

4.200


Question:
 If individual shares of partners of AOP/BOI are unknown, tax is charged on the total income of AOP/BOI at the Maximum Marginal rate of.

1.20%

2.25%

3.28%0

4.30.9%


Question:
 In case of expenditure on common facilities paid by the owner is reduced out of actual rent, the balance is known as

1.real rental value

2.expected rental value

3.municipal rental value

4. fair rental value


Question:
 In order to claim deductions under section 54 the assessee should not transfer the newly acquired asset with in ________ years from the date of its purchase.

1.2

2.3

3.4

4.1


Question:
 In order to claim deductions under section 54 the assessee should not transfer the newly acquired asset with in ________ years from the date of its purchase.

1.2

2.3

3.4

4.1


Question:
 Income received in India is taxable for ____________.

1.Resident

2.Non-resident

3. Resident but not ordinarily resident

4.All the above


Question:
 Income Tax Act was passed

1. 1955

2.1961

3.1956

4.1939


Question:
 Income Tax Authorities are grouped into two main wings Administrative and.

1.Judicial

2.Managerial

3.Executives

4.Clerical


Question:
 Incomes which specifically fall under any of the first four heads of income are included in _______.

1. exempted income

2.income from other sources

3.general income

4.All the above


Question:
 Profit on sale of long term capital asset is

1.business income

2. professional income

3.capital gain

4.income from other source


Question:
 Rate of TDS for casual incomes is ________.

1. 30%

2.20%

3.15%

4.33%


Question:
 Rates of TDS for dividends on shares referred to u/s 115O is

1.Nil

2.5%

3.10%

4.20%


Question:
 Share of income received from AOP is entitled to rebate at.

1.10%

2.nil

3.Average

4.20%


Question:
 Share of profits from PFAF of a partner is.

1. Business income.

2. Exempted income

3.. Income from other sources

4. Capital gain.


Question:
 The person who satisfies any one of two conditions u/s 6(1) + both the additional conditions u/s 6(6)(a)&(b)

1.Resident

2. Non Resident

3.Resident but not ordinarily resident

4.None of the above


Question:
 There is no exemption limit and flat rate of tax is applicable to

1. Individuals.

2.Partnership firms

3.AOP.

4.Companies and partnership firms.


Question:
A person who has not stayed in India for a period of less than 60 days during the relevant previous year is
__________.

1.resident

2.non resident

3.resident but not ordinarily resident

4.None of the above


Question:
Agriculture Income is __________

1.Taxable

2.not taxable

3.partly taxable

4.None of the above


Question:
Any payment made to discharge a revenue liability, if refunded later on, shall be.

1. A. a revenue receipt.

2. a capital receipt.

3.a casual receipt

4.None of the these


Question:
Any person on whom some proceeding has been taken under income tax is known as

1.. Ordinary Assessee

2.Deemed Assessee

3.Assessee in default

4.Representative assessee


Question:
Apart from the Individual, Who will have three residential status?

1.. Firm

2.AOP

3.Company

4.HUF


Question:
Apart from the Individual, Who will have three residential status?

1.. Firm

2.AOP

3.Company

4.HUF


Question:
CII for the financial year 2018-2019 is ______

1.254

2.264

3. 272

4.280


Question:
Deduction in respect of expenditure on advertisements through articles intended for presentation will be allowed on the value of each article up to a limit of.

1.fully allowed.

2.Rs. 1,000 per item.

3.Rs. 1,000 per item

4. Rs.800 per item


Question:
Deduction of tax at source made for incomes which can be calculated in advance is called.

1. T.D.S.

2.PAS

3.FAS

4.MAS.


Question:
Deductions out of net annual value is dealt in sec.c _____

1.23

2.24

3.26

4.25


Question:
Deductions under section 80C is allowable for

1.Individuals

2.HUF

3.Individuals and HUF

4.Company


Question:
Determination of taxable income and calculation of tax liability is known as

1.Assessment

2.Scrutiny

3.levy

4. tax calculation


Question:
Determination of taxable income and calculation of tax liability is known as

1.Assessment

2.Scrutiny

3.levy

4. tax calculation


Question:
Dividends declared by Indian company are

1. fully taxable.

2.Partially taxable

3.fully exempted

4.not considered as income


Question:
Embezzlement of cash by a cashier is.

1.a revenue loss.

2.a capital loss

3.a casual loss

4.None of the these


Question:
Expenditure incurred on the acquisition of patents or copy rights is allowed upto _____every year.

1.25%

2. 35%

3. 50%

4.10%


Question:
Expressly allowed deduction are dealt in

1.sec. 30-36

2.sec. 28-33

3.sec. 33-36

4.sec. 28-35


Question:
House rent allowances is _________

1.Fully taxable

2.partly taxable

3.fully exempted

4.None of the above


Question:
In case of expenditure on common facilities paid by the owner is reduced out of actual rent, the balance is known as

1. real rental value

2.expected rental value

3.municipal rental value

4.fair rental value


Question:
In case of let out property, the amount of deduction in respect of interest is _______.

1.Rs. 30,000

2. Rs. 2,00,000

3. Rs. 50,000

4.no limits


Question:
In case of residential status of HUF, firm, AOP and EOP if control and management are wholly outside
India, they are deemed as.

1.Resident.

2.Ordinarily Resident

3.Nonresident

4.None of the these


Question:
Indexation should not be done for the following case/s.

1.Debentures

2.GDR purchased in foreign currency

3.Depreciable assets

4.All the above


Question:
Integration of agricultural income with non agricultural income is done if net agricultural income exceeds

1.Rs. 5,000

2. Rs. 10,000

3.Rs. 50,000

4.Rs. 25,000


Question:
Loss under the head house property can be carry forward to

1.4 years

2.5 years

3.8 years

4. unlimited years


Question:
Mr. Abraham and Mrs. Abraham are qualified Chartered Accountants and are carrying on profession as partners in the same professional firm.

1.the share of income of both partners will be clubbed under the provisions of Section 64.

2.the clubbing provisions of section 64 will not apply to them.

3.the share income from the firm will be exempt form tax.

4. the clubbing provisions of section 46 will not apply to them.


Question:
Non speculation business loss can be carry forward to

1. 5 years

2.8 years

3.10 years

4.12 years


Question:
Normally Previous Year starts from ___________

1.1st April every year

2.1st March year

3. 1st Jan. every year

4.none of the above


Question:
one of the basic conditions under residential Status _____days

1.186

2.182

3.180

4.180


Question:
one of the basic conditions under residential Status _____days

1.186

2.182

3.180

4.180


Question:
Past untaxed foreign income brought into India is taxable for

1.Resident

2.resident but not ordinarily resident

3. non resident

4. none


Question:
Profit from the business set up outside India but controlled from India is taxable

1. Resident

2.resident but not ordinarily resident

3. non resident

4.A & B


Question:
Rate of TDS for listed securities is

1.10%

2. 20%

3.30%

4.None of the these


Question:
Remuneration paid to members of AOP is.

1.Inadmissible expense of AOP.

2.Allowable business expenses of AOP.

3.Expense for members.

4.None of the these


Question:
Rent paid to a partner by a PFAF is.

1.Allowable expense.

2.None business expenditure

3.Rebate to firm.

4.None of these.


Question:
Residential status of an assessee is ascertained as per the provisions of.

1.Sec. 6.

2.Sec. 7.

3.. Sec. 9

4. Sec. 11.


Question:
Salary received by partner from firm is _________ income

1.salary

2.business

3.other source

4.professional


Question:
Sec. 54 of the IT act deal with

1.calculation of cost of acquisition

2.exempted capital gains

3. indexing of caost

4.determination of capital assets


Question:
Share of income received from AOP is entitled to rebate at.

1.10%

2.Nil.

3.Average rate.

4.20%.


Question:
Share of listed company, which is held by an assessee for more than _________ months known as short term capital assets.

1.12

2.18

3.24

4.36


Question:
Share of unlisted company, which is held by an assessee for more than _________ months known as short
term capital assets.

1.12

2.24

3.36.

4.48


Question:
Speculation loss can be set off against

1.. salary income

2.house property income

3.another speculation business

4.capital gain


Question:
Speculation loss can be set off against

1.. salary income

2.house property income

3.another speculation business

4.capital gain


Question:
Speculation loss cannot be set off against

1.. salary income

2.house property income

3. casual income

4.all the above


Question:
The highest Administrative Authority for Income Tax in India is.

1.Finance Minister

2.CBDT

3.President of India.

4.Director of Income Tax.


Question:
The year in which the income is earned is called_______

1.Previous year

2.current year

3.Assessment year

4.None


Question:
Total income is determined on the basis of Residential Status of the assessee in the previous year
according to.

1. Sec. 3.

2.Sec. 5

3. Sec. 8

4. Sec. 12.


Question:
Under section 80E deduction out of total income is

1.. Rs. 20,000

2. Rs. 25,000

3.Rs. 30,000

4. Actual amount paid


Question:
What are the residential status of an individual?

1.Resident

2.Non-resident

3. Resident but not ordinarily resident

4.All the above


Question:
What is maximum limit of deduction u/s 80D for senior citizen?

1. Rs. 25,000

2.Rs. 50,000

3.Rs. 30,000

4.Rs. 20,000


Question:
What is not included in capital asset?

1.stock in trade

2. agricultural land

3.Special bearer bonds, 1991

4.All the above


Question:
What is the amount of standard deduction under section 24?

1. 30% of net annual value

2.33% of net annual value

3.Rs. 400,000

4.Rs. 50,000


Question:
What is the exemption limit for children education allowance?

1. Rs.100 pm per child for two children

2.Rs.200 pm per child for two children

3.Rs.300 pm per child for two children

4.Rs.250 pm per child for two children


Question:
What is the exemption limit for children hostel expenditure allowance?

1.Rs.200 pm per child for two children

2.Rs.300 pm per child for two children

3.Rs.400 pm per child for two children

4.Rs.500 pm per child for two children


Question:
Which of the following income is not charged under the head Profits and Gains of business or profession?

1.remuneration received by partner

2.export incentives

3.income of trade association

4. profit on sale of capital asset


Question:
Which of the following is a capital receipt?

1.Commission received.

2.Salary received

3.Salary received

4.Sale proceeds of Building.


Question:
Which of the following/s is/are general income/s under section 56(1)?

1.Royalty from coal mine

2.income received from sub-letting of house

3.tips received by taxi driverd

4.All the above


Question:
Which one of the following is not general income u/s 56(1)?

1. A. Receipts from other than employer B. C. D.

2. income from sub-letting

3. family pension received by legal heirs

4.dividends


Question:
Which one of the following rental value is not considered for calculation of ERV?

1. Municipal rental value

2.Fair rental value

3.Standard rent

4.rent received


Question:
While computing business income general deductions are given in sec.

1.37

2.39

3.40

4.35


Question:
________ of pre-construction period interest is allowed as deduction u/s 24.

1.1/4

2.30%

3.1/5

4.50%


Question:
__________ deduction is allowable while calculating income from self occupied house.

1. municipal tax

2.repair expenses

3.insurance premium

4.interest on loan taken for construction


Question:
__________ is the current assessment year.

1. 2018-2020

2.2019-2020

3.2018-2019l

4.2018-2019


Question:
____________ is not a direct taxes.

1.Gift tax

2.Wealth tax

3. Income tax

4.GST


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