Welcome to your International Navodaya Chamber of Commerce (INCOC) Platform ! Subject: Direct Tax Laws and International TaxationTotal Number of Question: 40Time: 41 MinutesPlease check your email after completion of test for result.All the best... Name Phone No Email State 1. Which section of the Income-tax Act deals with the taxation of income in the hands of a partnership firm? Section 10(2) Section 10(3) Section 10(4) Section 10(5) None 2. What is the maximum amount of deduction available under section 80C for an individual taxpayer? ₹1,00,000 ₹1,50,000 ₹2,00,000 ₹2,50,000 None 3. Under section 10(10D), the amount received from a life insurance policy is exempt from tax, provided the premium does not exceed what percentage of the sum assured? 10% 15% 20% 25% None 4. Which of the following is not a capital asset under section 2(14) of the Income-tax Act? Land and building Stock-in-trade Shares and securities Jewellery None 5. What is the maximum amount of deduction available under section 80D for insurance premiums paid for a senior citizen? ₹25,000 ₹50,000 ₹75,000 ₹1,00,000 None 6. Under section 80E, the deduction for interest on loans taken for higher education is available for how many years? 1 year 2 years 3 years 8 years None 7. Which section of the Income-tax Act deals with the taxation of income in the hands of a Hindu Undivided Family (HUF)? Section 10(2) Section 10(3) Section 10(4) Section 10(5) None 8. What is the maximum amount of deduction available under section 80G for donations to charitable institutions? 50% of the donated amount 100% of the donated amount 100% of the donated amount with restriction 10% of the adjusted gross total income None 9. Under section 80TTA, the deduction for interest on savings bank accounts is available up to what amount? ₹10,000 ₹15,000 ₹20,000 ₹50,000 None 10. Which of the following is not a specified entity under section 80LA for the purpose of deduction of profits? Offshore banking unit International Financial Services Centre Special Economic Zone unit Domestic company None 11. Under section 10(23C), which of the following entities is eligible for exemption from income tax? University Hospital Trusts for charitable purposes All of the above None 12. What is the maximum amount of deduction available under section 80E for interest on loans taken for higher education? ₹25,000 ₹50,000 ₹1,00,000 No limit None 13. Under section 80GGA, a taxpayer can claim a deduction for donations made to scientific research or rural development. What is the maximum amount of such deduction? 50% of the donated amount 100% of the donated amount 100% of the donated amount with restriction 10% of the adjusted gross total income None 14. Which of the following is not a capital asset under section 2(14) of the Income-tax Act? Land and building Stock-in-trade Shares and securities Jewellery None 15. Under section 80D, the deduction for insurance premiums paid for a senior citizen is available up to what amount? ₹25,000 ₹50,000 ₹75,000 ₹1,00,000 None 16. Which of the following is not included in the definition of “income” under section 2(24) of the Income-tax Act? Salary received Dividend income Gifts from relatives Rent received None 17. Which section of the Income-tax Act deals with the taxation of gifts? Section 10(23C) Section 56(2) Section 80D Section 80E None 18. What is the rate of tax on long-term capital gains arising from the sale of listed securities under section 112A? 10% without indexation 10% with indexation 15% without indexation 20% with indexation None 19. Under section 10(10C), an individual can claim a deduction for voluntary retirement scheme (VRS) compensation up to: ₹2,00,000 ₹5,00,000 ₹3,00,000 ₹10,00,000 None 20. Which section deals with the taxation of income of a non-resident? Section 10 Section 9 Section 92 Section 115B None 21. In case of a resident but not ordinarily resident (RNOR), which of the following incomes are not taxable in India? Income earned in India Income earned outside India Income from agricultural activities All of the above None 22. Under section 9(1)(i), income arising from the transfer of a capital asset situated in India is taxable in India. Which of the following is considered a capital asset? A plot of land in India A car used for personal purposes Gold coins A bond held for trading None 23. Which of the following is a tax treaty that India has signed for the avoidance of double taxation (DTA)? United States of America (USA) Canada United Kingdom (UK) All of the above None 24. Under section 80RRB, royalty income received by an author from a patent is eligible for a deduction up to: ₹50,000 ₹1,50,000 ₹3,00,000 ₹5,00,000 None 25. In the context of international taxation, what is the purpose of a Double Taxation Avoidance Agreement (DTAA)? To avoid double taxation on the same income To impose higher taxes on foreign income To impose tax on foreign assets To provide tax incentives for foreign companies None 26. Under the Income-tax Act, the term "transfer pricing" refers to: Pricing of goods and services sold in India The price at which goods and services are traded between associated enterprises Transfer of assets between individuals Pricing of government bonds None 27. What is the threshold limit for applicability of tax audit under section 44AB for businesses with cash receipts exceeding? ₹2 crore ₹5 crore ₹10 crore ₹1 crore None 28. Under section 92A, the term "associated enterprises" refers to: Enterprises controlled by the government Enterprises in which one enterprise holds 26% or more of the voting power in the other Enterprises not controlled by any one party All of the above None 29. Under the Goods and Services Tax (GST) regime, which of the following transactions is subject to taxation in India? Export of services Import of goods Inter-state supply of goods All of the above None 30. Section 115A of the Income-tax Act provides for the taxation of: Income of a non-resident Income of a resident company Income of a Hindu Undivided Family (HUF) Income from foreign bank accounts None 31. Under the concept of "place of effective management" (POEM) in international taxation, which of the following is true for determining the residence of a company? It is determined by where the majority of shareholders reside It is based on where the company's headquarters are located It is based on where the decisions of the company are made It is determined by the country of incorporation None 32. What is the rate of tax on dividends received by a domestic company under section 115- O? 10% 15% 20% 30% None 33. Under section 91, a resident individual can claim relief for double taxation if: They have paid taxes in another country The country does not have a DTAA with India The taxes are not paid under a tax treaty The income is taxable in India and the foreign country None 34. In case of international taxation, what is meant by "permanent establishment" (PE)? A fixed place of business through which a foreign enterprise operates in India A foreign company operating solely through a local agent A branch of a foreign company in India Both A and C None 35. Under section 90 of the Income-tax Act, what is the significance of a Double Taxation Avoidance Agreement (DTAA)? It provides exemptions for certain types of foreign income It allows the taxpayer to claim credit for taxes paid in the foreign country It exempts foreign companies from taxes in India It increases the tax rate for foreign income None 36. Which of the following is true regarding the taxation of royalty income in India? Royalty income is taxable under section 9(1)(vi) if the right is used in India Royalty income from foreign sources is exempt from tax in India Only Indian residents are liable to pay tax on royalty income Royalty income is taxed at the same rate as interest income None 37. Under section 90 of the Income-tax Act, which of the following provisions applies in case of a DTAA between India and another country? The provisions of the DTAA override the provisions of the Income-tax Act The provisions of the Income-tax Act override the provisions of the DTAA The taxpayer has to choose between the Income-tax Act or the DTAA Both the Income-tax Act and the DTAA apply simultaneously None 38. What is the maximum amount of deduction available under section 80U for an individual with a disability? ₹50,000 ₹1,00,000 ₹1,50,000 ₹2,00,000 None 39. Which of the following sections of the Income-tax Act deals with the taxation of international transactions between associated enterprises? Section 9 Section 92 Section 91 Section 115B None 40. What is the rate of tax on short-term capital gains on equity shares and equity mutual funds under section 111A? 5% 10% 15% 20% None 1 out of 4 Great job on taking the INCOC Test! We appreciate your interest in test.Look out for results and future opportunities.Stay Connected !! Your quiz time is about to finish. Few seconds left. 1 2 3 4 Time's upYou cannot switch tabs while taking this quiz!You are not allowed to switch tabs violation has been recorded.you cannot minimize full screen mode!You are not allowed to minimize full screen while taking this quiz, violation has been recorded.Access denied! To begin the quiz, please grant this quiz access to your camera.Time is Up!Time is Up!