TDS MCQ question with Answer pdf

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TDS MCQ question with Answer pdf

1) The rate of TDS on rental payments of plant, machinery or equipment is:
a. 2%
b. 5%
c. 10%
d. 20%

2) The rate of TDS on interest on securities other than government securities is:
a. 5%
b. 10%
c. 20%
d. 15%

3) Any person responsible for paying to a resident any sum exceeding rs. 2.5 lakh towards compensation for compulsory acquisition of his urban industrial land under any law has to deduct income tax at the rate of:
a. 10%
b. 15%
c. 20%
d. 5%

4) Tax at source will be deducted @ …… from payments by way of rent for use of plant, machinery or equipment.
a. 2%
b. 7%
c. 10%
d. None

5) Form no. applicable for TDS in respect of salary is:
a. 15
b. 17
c. 16
d. 18

6) Tax deducted at source is deemed to be the………. Of the person from whose income the tax has been deducted at source.
a. Expense
b. Income
c. both
d. None

7) If the recipient of income fails to furnish his Permanent Account Number to the person responsible for deducting the tax at source, the tax shall be deducted:
a. at the rate specified in the relevant provision of this Act
b. at the rate or rates in force
c. at the rate of 20%
d. higher of the above rates

8) Tax at source will be deducted on winnings from horse races if the amount exceeds:
a. 10,000
b. 20,000
c. 5,000
d. 30,000

9) Tax at source will be deducted @ ………… on winnings from lotteries.
a. 30 %
b. 40 %
c. 50 %
d. 60 %

10) The interest rate charged as penalty for delay in deducting TDS is:
a. 1% per month

b. 2% per month
c. 1.5% per month
d. 5% per month

11) In respect of contract payments, when is tax to be deducted at source from the payment made to the contractor?
a. At the time of credit of sum to the account of the contractor
b. At the time of payment of sum in cash or by issuance of a cheque or draft or by any other mode
c. At the time of credit of sum to the account of the contractor or at the time of payment thereof in cash or by issuance of a cheque or draft or by any other mode, whichever is earlier
d. Any time as per the choice of the payer

12) Tax at source will be deducted on payment by way of insurance commission if the amount exceeds:
a. 10,000
b. 15,000
c. 5,000
d. 30,000

13) As per section 1941, in respect of rent of which of to be deducted @10% from the amount of rent?
a. Land
b. Furniture or fittings
c. Building
d. All of the above

14) In respect of rental payments (other than u/s 1941B) the deductor is liable to issue Form No. 16A on which basis.
a. Quarterly
b. Monthly
c. Annually
d. None

15) In respect of transfer of immovable property, which of the following Form No. is used to issue TDS certificate?
a. Form No. 16
b. Form No. 24Q
c. Form No. 16A
d. Form No. 16B


16) In respect of contract payments, at which rate, tax is to be deducted if the payee is an individual or HUF?
a. @ 1%
b. @ 2%
c. (a) or (b) as per the choice of the payer
d. (a) or (b) as per the choice of Assessing Officer

17) The employer shall issue a certificate in which for tax deducted at source on salaries,
a. Form 17
b. Form 14
c. Form 16
d. None of the above

18) Tax at source will be deducted from payments by way of rent if the amount exceeds ….. ?
a. 2,50,000
b. 1,80,000
c. 1,50,000
d. None of the Above

19) Tax at source will be deducted from payments by way of fees for professional or technical services if the amount exceeds……. In a financial year.
a. 10,000
b. 30,000
c. 15,000
d. None

From the above you can clear about the TDS MCQ question with Answer pdf 2021. Below all the Income Tax MCQ are given.

Also Read :

Income Tax MCQ / Multiple Choice Questions on Taxation with Answers :


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