1. Tax on long term capital gain is.................. 

 A. 10%. 
B. 20%. 
C. 30%. 
D. 25%.



2. Income from other sources is a................. 

 A. Residuary head of income. 
B. Major head of income. 
C. Income from a single source. 
D. Constant and regular income.



3. Which one of the following is not an income from other sources? 

 A. Interest on fixed deposit in bank. 
B. Winnings from cross word puzzles. 
C. Gift in excess of Rs.50,000 from an unrelated person. 
D. Profit on sale of building.



4. Which of the following income from other sources is not taxable? 

 A. Dividend from co-operative society. 
B. Dividend from foreign company. 
C. Dividend from domestic company. 
D. Winnings from lottery.



 5. Dividends from co-operative society are........................ 

 A. Exempted. 
B. Taxable. 
C. Partially Exempted. 
D. Partially Taxable.


 6. Grossing up of interest on securities is required when................... 

 A. Interest is received after T.D.S. 
B. They are central govt. securities. 
C. The interest on bank deposit is less than Rs. 10,000. 
D. None of these.



7. Tax is reduced from casual incomes at.................... 

 A. 10% + surcharge and cesses. 
B. 20% + surcharge and cesses. 
C. 30%. 
D. none of these.



8. Speculation Loss can be carried forward for................. 

 A. 8 years 
B. 10 years 
C. 5 years 
D. 4 years



9. The income from the sale of house hold furniture is ...................... 

 A. Taxable income 
B. Exempted income 
C. Capital gain 
D. Business income



10. Preliminary expenses shall be allowed as deduction in............... 

 A. 5 Instalments. 
B. 10 Instalments. 
C. 15 Instalments 
D. 12 Instalments.



More MCQs on Income Tax Act