Free MCQ QUIZ on INCOME FROM SALARY

Free Mcq Quiz on Income From Salary

Quiz is available after the end of MCQs

    Following are the mcqs on Income from salary. 

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Free Mcq Quiz on Income From Salary

MCQ.1. Income from salary means ……………….
a. Basic+ All monetary benefits+ all allowances- deduction u/s 80
b. Basic+ All monetary benefits+ all allowances- deduction u/s 16
c. Basic+ All monetary benefits+ all allowances +value of perquisites- deduction u/s 16
d. Basic+ All monetary benefits+ all allowances +value of perquisites- deduction u/s 80

MCQ.2. Salary means for valuation of rent-free unfurnished accommodation includes————-
(a) Basic Pay+ D.A.+ Bonus+ Commission+ Fees+ All taxable allowances
(b) Basic Pay + All Taxable Allowances
(c) Basic Pay + All taxable Allowances + Taxable Perquisites
(d) Basic Pay + D. A. + Commission

MCQ.3. Hostel expenditure allowance is exempted up to Rs. _________ per month per child up to maximum of 2 children (if in case of Existing/Old regime)
a.100
b.200
c.300
d.400

MCQ.4. Children Education Allowance is exempted up to Rs. _______ per month per child. (if in case of Existing/Old regime)
a.100
b.200
c.300
d.400

MCQ.5. The amount of Standard Deduction in context to salary u/s 16(i) for A.Y.2021-22 is———(if in case of Existing/Old regime)
a. 40000
b. 50000
c. 25000
d. 60000

Free MCQ QUIZ on INCOME FROM SALARY | TAXATION MCQ | Quiz is available after the end of MCQs

MCQ.6. Dearness allowance is taxable in the hands of……………..
a. Govt employees
b. Non Govt employees
c. All employees.
d. None of these.

MCQ.7. House rent allowance is……………….. (if in case of Existing/Old regime)
a. Partly taxable.
b. Fully exempted.
c. Fully taxable.
d. Actual rent paid alone is taxable.

MCQ.8. Exempted limit of HRA in metropolitan cities is. (if in case of Existing/Old regime)
a. 40% of salary.
b. 50% of salary
c. 15% of salary.
d. none of these.

MCQ.9. Exemption in respect of house rent allowance in case of metro cities (if in case of Existing/Old regime) is ___________of the following:
(1) 50% of salary
(2) HRA actually received
(3) Rent paid in excess of 10% of salary.
(a) Whichever is any two
(b) Whichever is Higher
(c) Whichever is Lower
(d) All

MCQ.10. Education allowance is exempted for a maximum of ………………. (if in case of Existing/Old regime)
a. One child.
b. Two children.
c. Three children.
d. Four children.

Free MCQ QUIZ on INCOME FROM SALARY | TAXATION MCQ | Quiz is available after the end of MCQs

MCQ.11. In calculation of exemption for HRA, salary includes ————
(a) Basic Pay+ D.A. (if part of retirement benefit) + Commission (Fixed %)
(b) Basic Pay + All Taxable Allowances+ Commission
(c) Basic Pay + All taxable Allowances + Taxable Perquisites
(d) Basic Pay + D. A. + Commission

MCQ.12. Value of rent-free accommodation in case of Govt. employee shall be taxable up to…………………..
a. 15% of employee’s salary.
b. 7.5% of employee’s salary.
c. License fee fixed by Govt.
d. 10% of employee’s salary.

MCQ.13. Value of rent-free accommodation in case of non-Govt. employee shall be taxable up to…………………..
a. 15% of employee’s salary.
b. 7.5% of employee’s salary.
c. License fee fixed by Govt.
d. 10% of employee’s salary.

MCQ.14. Entertainment allowance to govt. employees is exempted, which is least of 20% of basic salary or actual allowance or…………….. (if in case of Existing/Old regime)
a. Rs. 5,000.
b. Rs. 7,000.
c. Rs. 2,000.
d. Rs. 20,000.

MCQ.15. A Perk is…………………….
a. Cash paid by employer to employee
b. Facility provided by employer to employee
c. Amount credited to employees.
d. None of these accounts.

Free MCQ QUIZ on INCOME FROM SALARY | TAXATION MCQ | Quiz is available after the end of MCQs

MCQ.16. When the motor car is owned by Employer and Maintenance and running expenses are met by Employer, If the car cubic capacity of the car is 1700 cc and if car is used partly for official and partly for private purpose, an amount of allowance will be:
a. Rs. 2,400 per month
b. Rs 1,800 per month
c. Rs 900 per month
d. Rs 600 per month

MCQ.17. According to A.Y 2021-2022, Interest on RPF balance is exempted up to………………….. (if in case of Existing/Old regime)
a. 13%.
b. 9.5%.
c. 8.5%.
d. 12%.

MCQ.18. According to A.Y 2021-2022, Employers contribution to RPF is exempted up to……………….
a. 11% of salary.
b. 14% of salary.
c. 10.5% of salary.
d. 12% of salary.

MCQ.19. Meal to employees is exempted up to Rs…………………. per meal. (if in case of Old regime)
a. Rs. 40
b. Rs. 50
c. Rs. 60
d. Rs. 15

MCQ.20. Salary for the purpose of Entertainment allowance includes————-
(a) Basic Pay Only
(b) Basic Pay + All taxable Allowances + Taxable Perquisites
(c) Basic Pay + D. A. + Commission
(d) Basic Pay + All Taxable Allowances

Free MCQ QUIZ on INCOME FROM SALARY | TAXATION MCQ | Quiz is available after the end of MCQs

MCQ.21. Gift in Kind is exempted from Tax Maximum Up to Rs. _________ per annum.
a. Rs. 20,000
b. Rs 15,000
C. Rs. 10,000
d. Rs .5000

MCQ.22. Employer Contribution to the ______ provident fund can be exempted up to 12% of Salary.
a. Recognized
b. Unrecognized
c. Public
d. Statutory

MCQ.23. Cost of free Gas, Water and Electricity bill by Employer is:
a. Fully Taxable
b. Fully Exempted
c. Partly Taxable
d. 10% Taxable

MCQ.24. Which type of employee can claim deduction for Entertainment allowance received from employer? (if in case of Existing/Old regime)
a. Government Employee
b. Private Employee
c. Public sector Employee
d. Co-operative Sector Employee

MCQ.25. Meaning of term “Salary” is defined under section of the Act.
(a) 17(2)
(b) 15
(c) 17(1)
(d) 17(3)

Free MCQ QUIZ on INCOME FROM SALARY | TAXATION MCQ | Quiz is available after the end of MCQs

MCQ.26. Uncommuted pension is whether received by the Government employee or non- government employee.
(a) Not taxable
(b) Partly taxable
(c) Taxable
(d) Fully Exempt

MCQ.27. Commuted pension received by non-government employee who is in receipt of gratuity is exempt up to of full value of commuted pension.
(a) 1/4th
(b) 1/3rd
(c) ½
(d) None of the above

MCQ.28. Commuted pension received by non-government employee who is not in receipt of gratuity is exempt up to _______ of full value of commuted pension.
(a) 1/3rd
(b) 1/4th
(c) 1/5th
(d) ½

MCQ.29. Under which fund, employer does not contribute?
(a) Unrecognized Provident Fund
(b) Statutory Provident Fund
(c) Recognized Provident Fund
(d) Public Provident Fund

MCQ. 30. Entertainment tax deduction is allowed only to ……………..

a) Government employee

b) Private Employee

c) Businessman

d) None of the above

Reference:- KSHITIJA PUBLICATION, PUNE

Free MCQ QUIZ on INCOME FROM SALARY
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