Question 1

Section 2(9) of Income tax deals with…………..

Accepted Answer

The answer of Section 2(9) of Income tax deals with…………..
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Question 2

CBDT stands for …………………………..

Accepted Answer

CBDT stands for Central Board of Direct Taxes, which is a part of the Department of Revenue in the Ministry of Finance, Government of India.

Question 3

Dividend from an Indian Company is …………………

Accepted Answer

Dividends from an Indian company were made fully exempt from tax for the recipient under Section 10(34) of the Income Tax Act, 1961. However, it's important to note that this was the case until the financial year 2019-20. From FY 2020-21 onwards, dividends are taxable in the hands of the individual as per the applicable slab rates, and the dividend distribution tax (DDT) previously levied on companies was abolished. This explanation is based on the previous tax regime.

Question 4

Profits earned from an illegal business are...............

Accepted Answer

Profits earned from illegal activities are still considered taxable income by tax authorities. The Internal Revenue Code does not differentiate between income earned from legal and illegal activities; all income is subject to taxation.

Quiz 1: Taxation and Corporate Law: Understanding Tax Liability, Compliance, and Deductions

Section 2(9) of Income tax deals with…………..

CBDT stands for …………………………..

Dividend from an Indian Company is …………………

Profits earned from an illegal business are...............