1. The income of previous year is chargeable to tax in the …………………….
a) Immediately succeeding assessment year
b) Same previous year
c) Immediately preceding academic year
d) None of the above
2. The interest on loan paid by the Government of India to a non-resident outside India is ………………. in India.
a) Not taxable
b) Partially taxable
c) Taxable
d) Can’t say
3. The salary, remuneration or compensation received by the partners is taxable under the head ………………………….
a) Income from Other Sources
b) Income from Business
c) Salary
d) None of the above
4. The death-cum-retirement gratuity received by the Government Employee or employee of local authority is ………………………….
a) Partially exempted
b) Fully exempted
c) Half taxable
d) None of the above
5. Under Section 15 of Income Tax Act, the salary due in previous years and even if it is not received is ……………………….
a) Taxable
b) Not taxable
c) Partially taxable
d) None of the above
6. The assesses can claim relief under ………………………… for arrears or advance salary.
a) Section 89(1)
b) Section 89(2)
c) Section 89(3)
d) Section 89(4)
7. The Payment of Gratuity Act came into force in …………………….
a) 1973
b) 1980
c) 1991
d) 1972
8. Deduction from gross Total income is allowed under Sec. 80C up to lower of the Qualifying amount or a maximum of
a) Rs. 50,000
b) Rs. 80,000
c) Rs. 1,00,000
d) Rs. 2,00,000
9. Profits earned from an illegal business are .....................
a) Taxable
b) Tax free
c) Ignored by Tax Authorities
d) treated as other income
10. Medical reimbursement is exempt upto .................. if treatment is done in a private hospital.
a) Rs: 5,000
b) Rs: 10,000
c) Rs: 15,000
d) Rs: 50,000