Deck 6: Taxation and Financial Regulations

Question 1

Medical reimbursement is exempt up to .................. if treatment is done in a private hospital.

A)rs: 5,000
B)rs: 10,000
C)rs: 15,000
D)rs: 50,000

Answer 1

rs: 15,000

Question 2

Excise duty and sales tax are allowed as deduction if paid before......................

A)late date of filing of return.
B)previous year end.
C)before 31 st december of the previous year.
D)after 31 st december of previous year.

Answer 2

late date of filing of return.

Question 3

Technical know-how acquired after 1.4.98 is eligible for depreciation at...............

A)10% p.a.
B)20% p.a.
C)25% p.a.
D)40% p.a.

Answer 3

25% p.a.

Question 4

Which of the following is exempted.

A)c.c.a
B)d.a
C)foreign allowance
D)medical allowance

Question 5

Free food provided to employees is exempted upto ...................... per meal.

A)rs: 40
B)rs: 50
C)rs: 60
D)rs: 15

Question 6

The income from the sale of house hold furniture is ......................

A)taxable income
B)exempted income
C)capital gain
D)business income

Question 7

Preliminary expenses shall be allowed as deduction in...............

A)5 instalments.
B)10 instalments.
C)15 instalments
D)12 instalments.

Question 8

Bad debts allowed earlier and recovered latter on is....................

A)business income.
B)non business income.
C)exempted income.
D)income from other sources.

Question 9

Under valuation of opening stock is....................

A)deducted from net profit.
B)added to net profit.
C)credited to p & l a/c
D)none of these.

Question 10

Under section 44AB the audit of accounts is compulsory if total sales exceed ..........................

A)rs: 40 lakhs
B)rs: 50 lakhs
C)rs: one crore
D)rs: five crores

Question 11

Gifts from clients are...................

A)professional income.
B)income from other sources.
C)non taxable item.
D)none of these.

Question 12

Repairs incurred before installation of an assets is..................

A)capital expenditure.
B)revenue expenditure.
C)non business expenditure.
D)none of these.

Question 13

If a depreciable asset is acquired and used for less than 180 days in a financial year, depreciation allowed on it is..............

A)normal rate.
B)50% of normal rate.
C)nil.
D)none of these.

Question 14

The Total income of an individual is Rs: 3,46,994. The rounded off total income will be........................

A)rs: 3,46,000
B)rs: 3,47,000
C)rs: 3,46,990
D)rs: 3,50,000

Question 15

The income tax payable by an individual is Rs:8,562.55. The rounded off tax payable will be .........................

A)rs: 8,562
B)rs: 8,563
C)rs: 8,560
D)rs: 8,570

Question 16

The maximum tax exemption to a senior citizen for the assessment year is ......................

A)rs: 3,00,000
B)rs: 2,00,000
C)rs: 1,00,000
D)rs: 2,50,000

Question 17

If STT is paid, then STCG tax on the transfer of capital asset is ..............................

A)10%
B)15%
C)20%
D)25%

Question 18

Education cess for the A.Y is ................................

A)3%
B)5%
C)10%
D)15%

Question 19

According to section ........................ , TDS shall be payable during the financial year in respect of the total income of the assessee.

A)206
B)207
C)208
D)210

Question 20

.................. must be paid according to the provisions of " Pay As You Earn" Scheme.

A)income tax
B)tds
C)advance tax
D)education cess

Question 21

Advance tax is payable when tax payable by an assessee is ........................or more.

A)rs: 5,000
B)rs: 10,000
C)rs: 15,000
D)rs: 1,00,000

Question 22

The rate of surcharge payable on tax for the A.Y. 2013-14 is ......................

A)5%
B)10%
C)3%
D)nil

Question 23

The non-taxable income for the woman assessee is .................................

A)rs: 1,00,000
B)rs: 1,90,000
C)rs: 2,50,000
D)rs: 3,00,000