Top 250+ Solved Direct Taxation MCQ Questions Answer
Q. The number of identities included in the definition of persons is
a. five
b. six
c. seven
d. eight
Q. Expenditure incurred by a businessman for ready to use software is entitled to benefit of
a. 15% as depreciation
b. 30% as depreciation
c. 60% as depreciation
d. 100% as revenue expenditure
Q. The basic exemption limit for a resident super senior citizen above the age of 80 is
a. Rs. 2,00,000
b. Rs. 2,50,000
c. Rs. 5,00,000
d. None of the above
Q. The provisions relating to interest on delay in payment of refund are given in section
a. 234A
b. 234B
c. 244A
d. 244B
Q. Which of the following can be corrected while processing the return of income undersection 143(1)?
a. Any arithmetical error in the return
b. Any mistake in the return of income
c. Any error of principle in the return of income
d. Any claim by the taxpayer which is against law
Q. Notice under section 156 is given for
a. failure to submit return
b. tax demand
c. deferment of tax
d. None of the above
Q. As per section 271H, where a person fails to file the statement of tax deducted/collected at source i.e. TDS/TCS return on or before the due dates prescribed in this regard, then he shall be liable to pay penalty under section 271H. Maximum penalty that can be levied is ______.
a. 1,00,000, but not exceeding the amount of TDS/TCS.
b. 2,00,000
c. 3,00,000
d. 4,00,000
Q. The threshold exemption limit for Equalization levy is?
a. Rs. 5 lakh
b. Rs. 3 lakh
c. Rs. 2 lakh
d. Rs. 1 lakh
Q. Rate of surcharge applicable to a foreign company having total income of Rs. 8 crore is :
a. Nil
b. 2%
c. 5%
d. 10%
Q. Income Computation and Disclosure Standards are to be applied in computation of income under the head:
a. Capital Gain only
b. Profits and Gains of Business or Profession only
c. Income from other sources only
d. Both “Profits and Gains from Business or Profession” and “Income from Other Sources”
Q. Maximum amount of exemption available in respect of amount received under voluntaryretirement scheme is:
a. Rs. 2,00,000
b. Rs. 3,00,000
c. Rs. 4,00,000
d. Rs. 5,00,000
Q. An individual can claim deduction from his gross total income in respect of expenditurefor the medical treatment of a dependent, being a person with disability upto maximum limit of
a. Rs. 50,000
b. Rs. 1,00,000
c. Rs. 75,000
d. Rs. 1,25,000
Q. Dividend from a company which is engaged in agricultural activities is:
a. Agriculture income
b. Business income
c. Partly agricultural income
d. None of above