Income Tax And Corporate Tax - Practice Test

[#211] Which of the following statements are true in context of deductions?

(A) Deductions are allowed under the income tax act help us reduce our taxable income

(B) We can avail the deductions only if we have made tax-saving investments or incurred eligible expenses. There are a number of deductions available under various sections that will bring down our taxable income

(C) The most popular deductions are under section 80C, 800, 80E, 80G, 80DDB, etc. of Chapter VIA

(D) All of the above

Correct Answer

(D) All of the above

[#212] Match the items of List-I with List-II . List-I List-II a. Tax Planning 1. Making suitable arrangement of TDS b. Tax Avoidance 2. Understatement of Income c. Tax Evasion 3. Availing deduction under Section 10A of IT Act d. Tax Administration 4. Misinterpreting the provisions of the IT Act

(A) a-2, b-1, c-4, d-3

(B) a-1, b-4, c-3, d-2

(C) a-3, b-4, c-2, d-1

(D) a-4, b-1, c-3, d-2

Correct Answer

(C) a-3, b-4, c-2, d-1

[#213] Interest for default in payment of advance tax is covered under Section

(A) 324A

(B) 234B

(C) 166C

(D) 254C

Correct Answer

(B) 234B

[#214] X donated Rs. 20,000 to a charitable institution, which is eligible for deduction U/S 80 G, during the financial year 2018-19. His total income during the period was Rs. 1,50,000. How much deduction he can claims U/S 80G?

(A) Rs. 7,500

(B) Rs. 10,000

(C) Rs. 15,000

(D) Rs. 20,000

Correct Answer

(A) Rs. 7,500

[#215] A loss in business suffer due to

(A) fall in demand

(B) high rate of taxes

(C) change in technology

(D) All of these

Correct Answer

(D) All of these

Income Tax And Corporate Tax - Study Mode

[#211] Which of the following statements are true in context of deductions?

Correct Answer

[#212] Match the items of List-I with List-II . List-I List-II a. Tax Planning 1. Making suitable arrangement of TDS b. Tax Avoidance 2. Understatement of Income c. Tax Evasion 3. Availing deduction under Section 10A of IT Act d. Tax Administration 4. Misinterpreting the provisions of the IT Act

Correct Answer

[#213] Interest for default in payment of advance tax is covered under Section

Correct Answer

[#214] X donated Rs. 20,000 to a charitable institution, which is eligible for deduction U/S 80 G, during the financial year 2018-19. His total income during the period was Rs. 1,50,000. How much deduction he can claims U/S 80G?

Correct Answer

[#215] A loss in business suffer due to

Correct Answer