Income Tax and Corporate Tax MCQs with Answers 2027

Q221

The income charged under the head Business/Profession are:

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Q222

Match List-I with List-II.

List-I	List-II
a. Tax Planning	1. To comply with the provisions of laws.
b. Tax Avoidance	2. To reduce tax liability by applying unfair means.
c. Tax Evasion	3. To reduce the tax liability to the minimum by applying script of law only.
d. Tax Management	4. To reduce tax liability by applying script and moral of law.

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Q223

Open question

Income received in India whether occurred in India or outside India, the tax incidence in case of resident is:

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Q224

Open question

Which of the following factors is not considered under the OECD model convention to determine the residence of an individual?

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Q225

Open question

If the book profits of a partnership firm is Rs. 1,10,000, the remuneration admissible to working partners under Section 40(b) of the Income Tax Act, 1961 is

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Q226

Open question

Which of the following statements is/are correct?
1. Any income, which is received in India, during the previous year by any assessee, is liable to tax in India, irrespective of the residential status of the assessee and the place of accrual of such income.
2. The day the individual enters India and the day he leaves India should both be treated as stay in India for calculating residential status of a person.
3. Presence in territorial water of India would also be regarded as presence in India.
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Q227

Open question

The salary received by the manager of an agricultural farm is

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Q228

Open question

In which of the following cases, the house property income is exempt from tax?

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Q229

Open question

Second instalment of advance tax payable falls due on or before

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Q230

Open question

Where an assessee is eligible to claim the DTAA benefit?

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Q231

Open question

For persons carrying on profession, tax audit is compulsory, if the gross receipts of the PY exceed

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Q232

Open question

Which of the conditions apply, in case the interest on loan paid by the Government of India to a non-resident outside India is applied?

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Q233

Open question

The provision regarding TDS is given under . . . . . . . . of income tax.

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Q234

Open question

Entertainment allowance is the fund given to an employee by the company to pay for client meetings drinks, food, hotel stay, etc. Entertainment allowance is fully taxable for employees working in the case of:

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Q235

Open question

In the following cases, it cannot be said that the business has been discontinued
1. Where the business of the assessee has been shifted from one premises to another.
2. Where the business of the assessee has been shifted from one market to another.
3. Where one or the other department of the business had been closed down.
4. Where the business of an industrial undertaking carried on in India is discontinued in any previous year, due to extensive damage and such business is reestablished with in 3 years.
Select the correct answer using the options given below

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Q236

Open question

Which one of the following deductions will not come under Section 80 of the Income Tax Act?

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Q237

Open question

Which of the following type of transactions cannot be exhaustively covered by the provisions of Permanent Establishment covered in DTAA?

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Q238

Open question

Any term used in DTAA with a foreign country and not defined in the agreement or the act but assigned a meaning in the notification issued by the Central Government in the official gazette, shall have the meaning assigned in such notification and shall be effective from the

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Q239

Open question

Exempted income is:

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Q240

Open question

If an assessee is engaged in the business of growing and manufacturing tea in India, the portion of agricultural income in that case shall be

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Income Tax and Corporate Taxpractice.

Income Tax and Corporate Tax
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