Top 150+ Solved Income Tax MCQ Questions Answer
Q. Allowances received by a government employee posted abroad are.............
a. fully exempted.
b. partly exempted.
c. fully taxable.
d. taxable by the country where poste
Q. Dearness allowance is taxable in the hands of.................
a. govt employees
b. non govt employees
c. all employees.
d. none of these.
Q. House rent allowance is....................
a. fully exempted.
b. partly taxable.
c. fully taxable.
d. actual rent paid alone is taxable.
Q. Exempted limit of HRA in metropolitan cities is.
a. 50% of salary.
b. 40% of salary.
c. 15% of salary.
d. none of these.
Q. Education allowance is exempted for a maximum of...................
a. one child.
b. two children.
c. three children.
d. four children.
Q. Rate of depreciation on non residential building is.......................
a. 10%.
b. 15%.
c. 20%.
d. 25%
Q. Additional depreciation is allowed at half the rate, if the asset is used in the initial yearfor.................................
a. 195 days.
b. 199 days.
c. 360 days.
d. less than 180 days.
Q. Under section 44AB ‘specified date’ means, ...............................
a. 30th june
b. 30th september
c. 30th november
d. 31st december
Q. Income from sale of rural Agricultural land is..................
a. taxable capital gain.
b. exempted capital gain.
c. taxable income.
d. none of these.
Q. What is the time limit for holding of a Financial Asset, to be called Short Term Capital Asset?
a. not more than 6 months.
b. not more than 12 months.
c. not more than 24 months.
d. not more than 36 months.
Q. To be a long term capital asset, a non financial asset should be held more than................
a. 12 months.
b. 24 months.
c. 36 months.
d. 60 months.
Q. Shares held for less than 12 months are......................
a. short term capital asset.
b. long term capital asset.
c. exempted capital asset.
d. projected capital asset.
Q. House property held for less than 36 months is........................
a. long term capital asset.
b. short term capital asset.
c. exempted capital asset.
d. projected capital asset.
Q. Indexation is applicable to.......................
a. sale of short term capital assets.
b. sale of long term debentures.
c. sale of depreciable capital assets.
d. sale of long term capital assets which are not depreciable assets