MCQOPTIONS
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MCQOPTIONS
This section includes 253 Mcqs, each offering curated multiple-choice questions to sharpen your Bachelor of Business Administration (BBA) knowledge and support exam preparation. Choose a topic below to get started.
| 51. |
Interest on loan for self-occupied house taken before 1st April, 1999 will beallowed up to |
| A. | ` 30,000 |
| B. | ` 1,50,000 |
| C. | ` 10,000 |
| D. | ` 50,000 |
| Answer» B. ` 1,50,000 | |
| 52. |
………………..standard deduction from annual value is allowed. |
| A. | 10% |
| B. | 20% |
| C. | 30% |
| D. | 15% |
| Answer» D. 15% | |
| 53. |
Interest on capital, borrowed on 10.10.2000, for self-occupied property isdeductible up to a maximum amount of . |
| A. | ` 50,000 |
| B. | ` 1,50,000 |
| C. | ` 5,000 |
| D. | none of the above |
| Answer» C. ` 5,000 | |
| 54. |
Mr. Shushant is the owner of a house, the details of which are given belowthe gross annual value would be Municipal value ` 36,000 Actual rent `32,000 Fair Rent ` 36,000 Standard Rent ` 40,000 |
| A. | ` 36,000 |
| B. | 35,000 |
| C. | ` 30,000 |
| D. | ` 40,000 |
| Answer» B. 35,000 | |
| 55. |
Rate of depreciation on residential building is…………….. |
| A. | 10% |
| B. | 20% |
| C. | 25% |
| D. | 5% |
| Answer» E. | |
| 56. |
Value of rent-free accommodation or a house owned by employer in caseof non-government employees with above 25 lakh population is . |
| A. | 15% of employee salary |
| B. | 7.5% of employee salary |
| C. | 20% of employee salary |
| D. | 10% of employee salary |
| Answer» B. 7.5% of employee salary | |
| 57. |
Value of rent-free accommodation in case of Government employee shallbe taxable up to |
| A. | 15% of employee’s salary |
| B. | 8% of employee’s salary |
| C. | license fee fixed by government |
| D. | 10% of employee’s salary |
| Answer» D. 10% of employee’s salary | |
| 58. |
The value of interest-free concessional loans to employees is determinedon the basis of lending rates of for the same purpose. |
| A. | sbi |
| B. | ` rbi |
| C. | central government |
| D. | state government |
| Answer» E. | |
| 59. |
Deduction for other expenses except interest in the computation of incomefrom house property is allowable to the extent of . |
| A. | 25% of annual value |
| B. | 10% of annual value |
| C. | 30% of annual value |
| D. | 20% of annual value |
| Answer» D. 20% of annual value | |
| 60. |
Arrear rent is taxable after deducting…………..as per Section 25B of theIncome Tax Act, 1961. |
| A. | 30% |
| B. | 35% |
| C. | 10% |
| D. | 20% |
| Answer» B. 35% | |
| 61. |
Which of the following is not a case of deemed ownership of houseproperty? |
| A. | transfer to a spouse for inadequate consideration |
| B. | transfer to a minor child for inadequate consideration |
| C. | holder of an importable estate |
| D. | co-owner of a property |
| Answer» E. | |
| 62. |
,67,000. While computing income from house property, the deduction isallowable to the extent of . |
| A. | ` 30,000 |
| B. | 1,00,000 |
| C. | ` 1,67,000 |
| D. | ` 1,50,000 |
| Answer» E. | |
| 63. |
Calculate the Gross Annual Value from the following details: MunicipalValue ` 45,000Fair rental value ` 50,000 Standard Rent ` 48,000 Actual Rent ` 42,000 |
| A. | ` 50,000 |
| B. | 48,000 |
| C. | ` 45,000 |
| D. | 42,000 |
| Answer» C. ` 45,000 | |
| 64. |
If the assesses let out the building or staff quarters to the employee ofbusiness, the rent collected from such employees is assessable as incomefrom . |
| A. | business |
| B. | house property |
| C. | other sources |
| D. | none of the above |
| Answer» D. none of the above | |
| 65. |
An individual who transfers house property without an adequateconsideration to his owner spouse or to minor child is called as . |
| A. | co-owner |
| B. | deemed owner |
| C. | owner himself |
| D. | none of the above |
| Answer» C. owner himself | |
| 66. |
,000 as local taxes during the year. He uses this house for his residentialpurposes but lets out half of the house @ ` 3,000 p.m. The annual value ofthe house is . |
| A. | 15,000 |
| B. | ` 16,000 |
| C. | ` 17,000 |
| D. | ` 18,000 |
| Answer» C. ` 17,000 | |
| 67. |
If the individual using the property for the business or professional purposethe income taxable under the……………..head. |
| A. | income from house property |
| B. | income from huf |
| C. | income from other |
| D. | income from business or proprietorship |
| Answer» E. | |
| 68. |
Mr. Ram owns a house property. He lent it to Laxman at ` 10,000 p.m.Laxman sublet it to Mr. Maruti on monthly rent of ` 20,000 p.m. Rentalincome of Laxman is taxable under the head . |
| A. | income from salary |
| B. | income from other sources |
| C. | income from house property |
| D. | income from business |
| Answer» C. income from house property | |
| 69. |
Under the Head Income from House Property, the basis of charge is theof property. |
| A. | annual value |
| B. | quarterly value |
| C. | half-quarterly value |
| D. | none of the above |
| Answer» B. quarterly value | |
| 70. |
Any commission due or received by a partner of a firm from the firm shallnot be regarded as salary income under . |
| A. | section 15 |
| B. | section 20 |
| C. | section 17 |
| D. | section 19 |
| Answer» B. section 20 | |
| 71. |
Expenditure on free meals to employee in excess of………………per meal willbe treated as perquisite of employee. |
| A. | ` 25 |
| B. | 50 |
| C. | ` 100 |
| D. | ` 55 |
| Answer» C. ` 100 | |
| 72. |
Gift to employee up to p.a. will not be treated as perquisite taxable in thehands of employee. |
| A. | ` 4,000 |
| B. | ` 5,000 |
| C. | ` 10,000 |
| D. | 2,500 |
| Answer» C. ` 10,000 | |
| 73. |
If loan granted by employer to employee does not exceed …………., it is nottreated as perquisite to employee for purpose of income tax. |
| A. | ` 20,000 |
| B. | 40,000 |
| C. | ` 30,000 |
| D. | ` 25,000 |
| Answer» C. ` 30,000 | |
| 74. |
The following is not taxable as income under the head “Salaries”: |
| A. | commission received by a full-time director |
| B. | remuneration received by a partner |
| C. | allowances received by an employee |
| D. | free accommodation given to an employee |
| Answer» C. allowances received by an employee | |
| 75. |
Tax Liability for the individual for 2016-17 who is not the resident of theIndia whose income ` 2,50,000 to ` 5,00,000 is………………. |
| A. | 10% of total income minus ` 2,00,000 |
| B. | 10% of total income minus ` 1,00,000 |
| C. | 15% of total income minus ` 1,00,000 |
| D. | none of the above |
| Answer» B. 10% of total income minus ` 1,00,000 | |
| 76. |
Surcharge is levied at the rate …………….if the income exceeds ` 1 crore ofthe financial year 2016-17. |
| A. | 10% |
| B. | 12% |
| C. | 15% |
| D. | 20% |
| Answer» D. 20% | |
| 77. |
The Income tax rate for the financial year 2016-17 for individual is………….. |
| A. | ` 5,00,000 to ` 10,00,000 is 20% |
| B. | ` 5,50,000 to ` 1,50,000 is 20% |
| C. | ` 5,00,000 to ` 10,00,000 is 30% |
| D. | ` 5,00,000 to ` 10,00,000 is 10% |
| Answer» B. ` 5,50,000 to ` 1,50,000 is 20% | |
| 78. |
……………….of Income Tax Act defines the perquisites and their valuation. |
| A. | section 18 |
| B. | section17 |
| C. | section 18(c) |
| D. | section 17(c) |
| Answer» E. | |
| 79. |
The house rent allowance (HRA) under the salary head of Income Tax Act isgiven by |
| A. | section 10 |
| B. | sec 10(13a) |
| C. | section 11(13b) |
| D. | section 11 |
| Answer» C. section 11(13b) | |
| 80. |
Compensation received on voluntary retirement is given by of IncomeTax Act, 1961. |
| A. | section 10(10d) |
| B. | section 10(10c) |
| C. | section 10(10e) |
| D. | section 11(10d) |
| Answer» C. section 10(10e) | |
| 81. |
Encashment of earned leave is given by………………. of Income Tax Act, 1961. |
| A. | section 10(10aa) |
| B. | section 12(10a) |
| C. | section 15(10b) |
| D. | none of the above |
| Answer» B. section 12(10a) | |
| 82. |
The maximum limit for the claim of deduction under salary headContributions to certain pension funds of LIC or any other insurer is . |
| A. | up to ` 2,00,000 |
| B. | up to ` 1,50,000 |
| C. | up to ` 1,75,000 |
| D. | none of the above |
| Answer» C. up to ` 1,75,000 | |
| 83. |
Income accrued outside India and received outside India is taxable in caseof. |
| A. | resident and ordinary resident (ror) only |
| B. | resident but not ordinary resident (rnor) only |
| C. | non-resident only |
| D. | ror, rnor and non-resident |
| Answer» B. resident but not ordinary resident (rnor) only | |
| 84. |
Total income is to be rounded off to nearest multiple of …………….and taxis to be rounded off to nearest multiple of . |
| A. | ten rupee |
| B. | hundred, ten |
| C. | ten, ten |
| D. | rupee, rupee |
| Answer» D. rupee, rupee | |
| 85. |
The family pension received by the family members of armed forces afterdeath of employee is . |
| A. | exempt fully |
| B. | exempted after fulfilling of certain conditions |
| C. | not exempted |
| D. | none of the above |
| Answer» C. not exempted | |
| 86. |
If the employee receives retirement gratuity from more than one employer,he can claim exemption in respect of . |
| A. | current employer |
| B. | previous employer |
| C. | both employer |
| D. | not from single employer |
| Answer» D. not from single employer | |
| 87. |
The children education allowance, the amount exempted from taxableincome is limited to |
| A. | ` 100 per month per child upto 3 children |
| B. | ` 1,000 per year per child upto 2 children |
| C. | ` 100 per year per child upto 2 children |
| D. | none of the above |
| Answer» D. none of the above | |
| 88. |
The Payment of Gratuity Act came into force in…………... |
| A. | 1973 |
| B. | 1980 |
| C. | 1991 |
| D. | 1972 |
| Answer» E. | |
| 89. |
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) |
| Answer» B. section 89(2) | |
| 90. |
Under Section 15 of Income Tax Act, the salary due in previous years andeven if it is not received is . |
| A. | taxable |
| B. | not taxable |
| C. | partially taxable |
| D. | none of the above |
| Answer» B. not taxable | |
| 91. |
The death-cum-retirement gratuity received by the Government Employeeor employee of local authority is . |
| A. | partially exempted |
| B. | fully exempted |
| C. | half taxable |
| D. | none of the above |
| Answer» C. half taxable | |
| 92. |
The income is chargeable under the head of salary under ……………of IncomeTax Act, 1961. |
| A. | section 15 |
| B. | section 20 |
| C. | section 14 |
| D. | section 16 |
| Answer» B. section 20 | |
| 93. |
Pension is ……………under the salary head. |
| A. | fully taxable |
| B. | partially taxable |
| C. | not taxable |
| D. | none of the above |
| Answer» B. partially taxable | |
| 94. |
……………is the casual income. |
| A. | interest received |
| B. | dividend income |
| C. | pension received |
| D. | winning from lotteries |
| Answer» E. | |
| 95. |
The interest on loan paid by the Government of India to a non-residentoutside India is………..in India. |
| A. | not taxable |
| B. | partially taxable |
| C. | taxable |
| D. | can’t say |
| Answer» B. partially taxable | |
| 96. |
Any rent or revenue derived from land which is situated in India and is usedfor agricultural purpose is . |
| A. | partially taxable |
| B. | fully taxable |
| C. | exempted from tax |
| D. | none of the above |
| Answer» D. none of the above | |
| 97. |
If the agricultural income is ……….. then the agricultural income isconsidered for calculating tax. |
| A. | more than ` 5,000 and total income is exceeding exemption limit |
| B. | more than ` 5,000 |
| C. | more than ` 10,000 |
| D. | any amount |
| Answer» B. more than ` 5,000 | |
| 98. |
…………..comes under agricultural income. |
| A. | tea garden |
| B. | commodity farming |
| C. | all of the above |
| D. | none of the above |
| Answer» D. none of the above | |
| 99. |
……………….of Income Tax Act is related to residential status. |
| A. | section 2 |
| B. | section 6 |
| C. | section 5 |
| D. | section 4 |
| Answer» C. section 5 | |
| 100. |
Which section of the Income Tax Act exempted incomes have beenmentioned? |
| A. | section 80c |
| B. | section 80dd |
| C. | section 10 |
| D. | section 2 |
| Answer» D. section 2 | |