Question 1

Income Tax is charged in…….

Accepted Answer

Income tax is charged in the assessment year, which is the year following the financial year in which the income was earned.

Question 2

CBDT is control by…….

Accepted Answer

The Central Board of Direct Taxes (CBDT) is controlled by the Central Government of India. It is a part of the Department of Revenue in the Ministry of Finance.

Question 3

Previous Year started from……

Accepted Answer

A

Question 4

Income Tax is a……

Accepted Answer

Income Tax is considered a direct tax because it is levied directly on the income of individuals or organizations.

Question 5

Interest u/s 234B is payable by an Assesse due to the following reason……….

Accepted Answer

The answer of Interest u/s 234B is payable by an...

Question 6

In which of the following assessment procedure Assesse compute his taxable income as well as tax on it.......

Accepted Answer

In self-assessment, the assessee computes their own taxable income and the tax due on it, filing the return accordingly.

Question 7

Tax is _ _ _ _ _ _ _ _ at source by the seller from the buyer at the time of debiting the amount account of the buyer or the receipt of payment whichever is earlier.

Accepted Answer

Tax is collected at source by the seller from the buyer at the time of debiting the amount to the account of the buyer or the receipt of payment, whichever is earlier.

Question 8

Amount of advance tax paid on due date on or before December 15th by assessee is

Accepted Answer

For individual taxpayers and most assessees, the advance tax payment due by December 15th is 75% of the total advance tax payable. This is part of the structured payment schedule to spread tax payments throughout the year.

Question 9

If recipient of income fails to furnish his Permanent Account Number to deduct of tax the tax shall be deducted

Accepted Answer

If the recipient of income does not provide their Permanent Account Number (PAN) to the deductor, tax is deducted at the higher of the specified rate, the rate in force, or 20%, as per the Income Tax Act provisions.

Question 10

The number allotted by income tax authorities to assessees for identification and which should be quoted in all documents and correspondences is_ _ _ _ _ _

Accepted Answer

The correct answer is C) permanent account number (PAN). It is a unique identifier issued to all judicial entities identifiable under the Indian Income Tax Act, 1961. It is used for tracking financial transactions and ensuring tax compliance.

Question 11

Due date of filing of return by a non-business assesse is _ _ _ _

Accepted Answer

The due date for filing of return by a non-business assessee is 31st July. This is a standard deadline for individuals who do not have income from a business or profession.

Question 12

The agreement among the partners is called _ _ _ _

Accepted Answer

A partnership deed is a written agreement among the partners specifying the terms, conditions, and other important aspects of their partnership.

Question 13

Assertion (A) an Assessee can pay his tax on the basis of his self-assessment(R) Reason (R) to 2% to 3% returns are went for scrutiny for the detailed checking of self-assessment returns.

Accepted Answer

Both statements are true. An assessee can indeed pay his tax based on self-assessment, and a small percentage of returns, typically 2% to 3%, are selected for scrutiny to ensure the accuracy of these self-assessed returns.

Question 14

The application for PAN is made in_ _ _ _

Accepted Answer

The application for PAN (Permanent Account Number) in India is made in Form 49A for Indian citizens.

Question 15

The scheme of advance tax is commonly known as:

Accepted Answer

The scheme of advance tax is commonly known as "pay as you earn," which means taxpayers pay tax on their income as they earn it throughout the year.

Question 16

In case of salary, TDS certificate is issued in form?

Accepted Answer

Form 16 is the TDS certificate issued by employers for tax deducted at source from salary.

Question 17

Form 16 is issued by the employer?

Accepted Answer

Form 16 is issued annually by the employer to its employees. It is a certificate under the Income Tax Act, 1961 for tax deducted at source from income under the head "Salaries".

Question 18

SUGAM is also known as

Accepted Answer

SUGAM is the informal name for ITR-4, which is used by individuals and HUFs having income from a business or profession under the presumptive taxation scheme.

Question 19

Under which of the following categories partner of partnership firm will be assessed

Accepted Answer

A partner of a partnership firm is assessed as an individual for tax purposes, as they are considered separate from the firm itself.

Question 20

Sahaj form is also known as......

Accepted Answer

Sahaj form is also known as ITR 1, which is designed for salaried individuals earning income from salary, one house property, other sources (interest etc.), and having total income up to Rs 50 lakh.

Quiz 1: Income Tax Act and Procedures in India: Part A