Income Tax MCQ with Answers Pdf (Multiple Choice Questions)

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Basic Concept – QUIZ

Income Tax MCQ with Answers Pdf – 1

Goods and Services Tax MCQ

Income Tax MCQ – 1 

 

1. Income tax is a

A) Direct tax
B) Indirect tax
C) Total tax
D) Danger tax                                                        

2. Sambalpur university is a

A) Local authority
B) Association of person
C) Individual
D) Artificial juridical person 

3. Education cess is levid in case of

A) Individual
B) Hindu undivided family
C) All assesse
D) Company assesse 

4. Income tax act 1961 imposed on

A) Legal income
B) Illegal income
C) Both legal and illegal income
D) None of this 

5. Income tax act 1961 applicable to

A) Jammu and Kashmir only
B) All state in India
C) All metro city
D) All India except Jammu and Kashmir 

6. Assesse includes

A) Individual
B) Company
C) HUF, AOP/BOI
D) All of the above 

7. AOP consist of                                                                          

A) Individual only
B) Other than individual
C) Both
D) None of Above 

8. BOI consist of

A) Individual only
B) Other than individual
C) Both
D) None of Above 

9. Health & Education cess is

A) 6%
B) 2%
C) 4%
D) 3% 

10. The term income is defined u/s

A) 2(24)
B) 3(24)
C) 24(2)
D) None of the above 

11. Income tax act 1961 came in to force on

A) 1st April 1960
B) 31st march 1972
C) 1st April 1962
D) None of the above 

12. Who has the statutory power to issued notification under income tax act1961

A) Central board of direct taxes
B) Central board of film certification
C) Finance department of state
D) None of the above 

13. Income tax is imposed on

A) Half yearly
B) Annually
C) Monthly
D) Daily 

14. Assessment year start on

A) 1st April
B) 31st march 

C) 1st July
D) None of the Above 

15. Previous year ends With

A) 1st April
B) 31st march
C) 1st July
D) None of the Above 

16. How many head of income are there

A) 6
B) 3
C) 4
D) 5 

17. Residential status is determined on

A) Assessment year
B) Calendar year
C) Previous year
D) Accounting year 

18. Taxable income is determined on the basic of

A) Residential status in India 
B) Citizenship of India
C) BPL card holder
D) Govt. job holder 

19. Section of residential status is

A) 7
B) 6
C) 5
D) 4 

20. Salary to MP/MLA is

A) Exempted
B) Free
C) Taxable
D) illegal 

MCQ on Income from Salary QUIZ

Income Tax MCQ – 2 

Income Tax MCQ with Answers Pdf-2

1. Computation of income from salary section is

A) Sec 11-12
B) Sec 15-17
C) Sec 6-10
D) Sec 16-20 

2. Deduction allowed against gross salary

A) Income tax
B) Entertainment tax
C) Professional tax
D) education tax 

3. RPF full form in income tax

A) Reserve police force
B) Railway police force
C) Recognized provident fund
D) None of the above 

4. Exemption limit of interest credit to RPF is

A) 6.5%
B) 9.5%
C) 7.5%
D) None of this 

5. Employer contribution to RPF is Exempted up

A) 12%
B) 9.5%
C) 19%
D) 10% 

6. Taxable amount of perquisite in respect of small car for offial and personal purpose

A) 1500 p.m.
B) 1800 p.m.
C) 2400 p.m.
D) None of the Above 

7. Taxable amount of perquisite in respect of Big car for offial and personal purpose

A) 1800 p.m.
B) 2000 p.m.
C) 1500 p.m.
D) 2400 p.m. 

8. Deduction from salary is allowed u/s

A) Sec 15
B) Sec 16
C) Sec 25
D) None of Above 

9. Education allowancw is exempted

A) Rs. 200 per month up to 4 child
B) Rs. 200 per month up to 3 child
C) Rs. 100per month up to 2 child
D) Rs. 100 per month up to 10 child 

10. Medical bil reimbursed in respect of treatment in private hospital

A) Up to 15,000 
B) Up to 12,000
C) Up to 25,000
D) None of the above 

11. HRA exempted u/s

A) 15(13B)
B) 12(13C)
C) 10(13A)
D) None of the above 

12. Perquisite Comes U/S

A) 19(3)
B) 17(2)
C) 2(17)
D) None of the above 

13. Allowance from U.N.O is

A) partly taxable
B) fully taxable
C) fully exempted
D) None of the above 

14. Entertainment allowance is

A) Partly exempted
B) Exempted
C) fully taxable
D) None of the Above 

15. HRA exempted u/s 10(13A) includes

A) 40% of salary if accommodation is situated at Delhi, Mumbai, Chennai, Kolkata
B) 60% of salary if accommodation is situated at Delhi, Mumbai, Chennai, Kolkata
C) 50% of salary if accommodation is situated at Delhi, Mumbai, Chennai, Kolkata 
D) None of the Above 

16. Free food during working hours at office/ business premises exemopted up to

A) Rs. 50 per meal
B) Rs. 60 per meal
C) Rs. 90 per meal
D) None of the above 

17. Agricultural income is

A) Taxable
B) Fully taxable
C) Exempted
D) Partly taxable 

18. Exempted Income comes under section

A) Sec 12
B) Sec 10
C) Sec 24
D) Sec 13 

19. Sec 10AA deduction implies

A) Buffer zone
B) Special economic zone
C) POK zone
D) None of the above 

20. Allowance of MP/MLA is

A) Exempted
B) Free
C) Taxable
D) illegal 

 

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