MCQs on Basic Concept of Income Tax, Residential Status & Exempt Income
Q1. Income Tax is imposed
by .
(a) State Government (b) Central Government
(c) Both of the above (d) Constitution of India
Q2. Parliament has the power to levy tax on incomes
other than .
(a) Exempt Incomes (b) Income
of poor people
(c) Agricultural Income (d) All incomes are taxable
Q3. Which Entry of Union List gives the power to
Parliament to levy tax on incomes?
(a) Entry 81 of List I to the Seventh schedule
(b) Entry 81 of List II to the Seventh schedule
(c) Entry 82 of List I to the Seventh schedule
(d) Entry 82 of List II to the Seventh schedule
Q4. Highest Administrative Authority for Income Tax in
India is .
(a) Finance Minister (b) CBDT
(c) President of India (d) Director
of Income Tax
Q5. Income-tax Act, 1961 applies
to .
(a) Whole of India (b) Whole of India excluding J&K
(c) Maharashtra (d) All of the above
Q6. The basic source
of income-tax law
is .
(a) Income-tax Act, 1961 (b) Income-tax
Rules, 1962
(c) Circulars/Notifications (d)
Judgments of Courts
Q7. Income Tax Act came into force on .
(a) 1.4.1961 (b) 1.4.1962 (c) 1.4.1956 (d) 1.4.1965
Q8. Income Tax Act contains sections
(a) XIV (b) 297 (c) XV (d) 298
Q9. Income Tax Act contains schedules.
(a) XIV (b) 297 (c) XV (d) 298
Q10. Proviso gives______ to the main provision.
(a) Clarification (b) Exceptions
(c) Proper Administration (d) None of these
Q11. Explanation gives __________to the main provision.
(a) Clarification (b) Exceptions
(c) Proper Administration (d) None of these
Q12. Part 1 of Schedule
I of the Finance Act, 2018 gives the rate of income tax for AY .
(a) 2018-19 (b) 2019-20 (c) 2017-18 (d) 2016-17
Q13. Finance Bill becomes the Finance Act when it is
passed by .
(a) Lok Sabha (b) Both Lok Sabha & Rajya Sabha
(c) Both House
of Parliament & signed by President.
(d)
Both House of Parliament & signed by the Prime Minister.
Q14. Part 2 of schedule
of I of the Finance
Act, 2018 gives the rate of tax-deductible of source
for the PY .
(a) 2018-19 (b) 2019-20 (c) 2017-18 (d) 2016-17
Q15. Part 3 of schedule I of The Finance Act, 2018 gives rate of advance tax payable for the
AY .
(a) 2018-19 (b) 2019-20 (c) 2017-18 (d) 2016-17
Q16. Notifications issued
by CBDT are binding on .
(a) Assessee (b) Income TaxAuthority
(c) Both of above (d) None of the above
Q17. Circulars issued by CBDT are binding on .
(a) Assessee (b) Income TaxAuthority
(c) Both of above (d) None of the above
Q18. Circulars are issued by the CBDT to the scope & meaning
of the provisions of Law.
(a) Clarify the doubts (b) Exceptions
(c) Proper Administration (d) None of these
Q19. As per Section 2(7),
“Assesses” means a person
(a)
By whom any tax or other sum of money
is payable
(b)
Against whom proceeding has been taken under the act
(c) A person deemed to be assessee
in default
(d)
All of the above
Q20. A person includes .
(a) Individual & HUF (b) Firm & Company
(c) AOP/BOI, LA, Every AJP (d) All of the above.
Q21. Every assessee is a person,
& every person
is .
(a) Also an assessee (b) Need not be an assessee
Q22. The term “Person” includes .
(a)
Registered Firm (b) Unregistered Firm
(c) Both of (a) & (b) (d) None of (a) or (b)
Q23. Association of persons consists
of .
(a) Individuals (only) (b) Company
(c) Any Person other than (a) (d) Any kind of person
Q24. Body of Individuals consists
of.
(a) Individuals (only) (b) Company
(c) Any Person other than (a) (d) Any kind of person
Q25. As per Section 2(31), the following is not included in the definition of ‘person’.
(a) Individual (b) HUF (c) Company (d)
Minor
Q26. A municipal corporation legally entitled to manage & control a municipal fund is taxable
in the status of :
(a) Individual (b) AOP (c)
LA (d) AJP
Q27. A & B are legal heirs of
C. After death of C, A & B carry on his business without entering
into a partnership. What is their Status?
(a) Company (b) LLP (c) AOP (d) Firm
Q28. As per sec. 2(24) definition of ‘income’ is:
(a) Inclusive (b) Exhaustive (c) Exclusive (d) Descriptive
Answer
|
1: d |
2: c |
3: c |
4: b |
5: a |
6: a |
7: b |
8: d |
9: a |
10: b |
11: a |
12: b |
13: c |
14: a |
|
15: b |
16: c |
17: b |
18: a |
19: d |
20: d |
21: b |
22: c |
23: d |
24: a |
25: d |
26: c |
27: c |
28: a |
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