Assessment of Companies – CS Executive Tax Laws MCQs

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Assessment of Companies – CS Executive Tax Laws MCQs

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A transfer of a capital asset by a private company or unlisted public company shall not be treated as transfer u/s 47(xiii b) of the Act on Conversion into LLP on fulfillment of the conditions which inter alia include that the total value of assets as appearing in the books of account of the company in any of the three previous years preceding the previous year in which the conversion took place does not exceed

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Every person is a resident Indian who carries out the business/ profession or a non-resident who has a permanent establishment in India shall deduct equalization levy from the amount paid/payable to a non-resident in respect of specified services @whereas the aggregate amount of consideration for specified services in the previous year exceeds(A) 8%, ₹ 10,00,000

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RAJA Ltd. has earned income of ₹ 150 lakh inclusive of income of ₹ 50 lakh from the transfer of Carbon Credit during the year 2020-21. The company had incurred an amount of ₹ 5 lakh as transfer expenses on the transfer of Carbon Credit. The income received from the transfer of Carbon Credit in the A.Y. 2021 -22 shall be taxed as per section 115BBG of the Act and the amount of tax on such income payable shall be :

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The total income of XYZ Limited includes the income of dividends of ₹ 10 lakh paid by a U.K. base foreign company in which XYZ Limited holds 30% of the equity share capital. The dividend income so received by the company from the U.K. base foreign company in A.Y. 2021-22 shall be:

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Provisions of Minimum Alternate Tax (MAT) are applicable to the companies which are;(i) Indian companies
(ii) Foreign companies
(iii) LLP

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ABC Ltd., a domestic company having a turnover of ₹ 350 crores has computed its total income for the year

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When an Indian company holds 30% of the nominal value of equity capital of a foreign company, the amount of dividend received from the foreign company in the hands of the Indian company is:

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Tom (P) Ltd. availIt has to pay a levy @ % of the gross amount paid/payable to the foreign company when it has no permanent establishment in India.
ed the services of a foreign company for online advertisement of its products.

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M Ltd. has a Minimum Alternative Tax (MAT) credit of ₹ 5,20,000 for the assessment year 2021-22.

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The royalty of ₹ 105 lakh received by a foreign company from an Indian concern in pursuance of an agreement approved by the Central Government in the previous year 2018-2019.

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While calculating book profits under section 115 JB of Income-tax Act, 1961 which of the following is not to be deducted?

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While calculating Book Profits under section 115JB of Income-tax Act, 1961, which of the following is not to be added?

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Income-tax Act, 1961 distinguished a closely held company from a widely held company significantly from the viewpoint of:

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Provisions of Minimum Alternate Tax (MAT) are applicable to the companies which are:(i) Indian companies
(ii) Foreign companies in certain situations
(iii) LLP

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MAT credit can be carried forward for a period of the following number of assessment years:

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The total income of XYZ Limited includes the income of dividends of ₹ 10 lakhs paid by a UK-based foreign company in which XYZ Limited holds 30% of the equity share capital. ₹ 50,000 has been spent for earning such a dividend.

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Which of the following is not a requirement for the amalgamation of two companies?

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For computing the Book Profit under section 115 JB, which of the following is not added back to the profits?

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An Indian company having 30% voting power in a foreign company received a dividend of ₹ 10 lakh from the foreign company.

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Provisions of Section 115JB are applicable in case of –

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Tax credit in respect of MAT paid as per Section 115IB will be allowed only in the previous year in which the tax payable on the total income at the normal rate is

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Alternate minimum tax u/s 115JC is not applicable to

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In order to be entitled to concessional rate of tax for dividend received from a foreign company, the Indian company should have the following minimum shareholding in such foreign company

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MAT credit in respect of excess taxes paid u/s 115JB can be carried forward for

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Provisions of Section 115JC are not at all applicable to

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According to Section 2(1 B), “amalgamation, in relation to companies means, the merger of one or more companies with another company or the merger of two or more companies to form one company” provided all conditions except the following are satisfied:

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The number of years for which credit of MAT excess paid u/s 115JB can be carried forward is

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