Deductions from Total Income – CS Executive Tax Laws MCQs

ABC Limited fulfilling all the conditions of operating different infrastructure facilities for claiming deduction u/s 80-IA. Find which are being not covered under infrastructure facility out of the following :

Timer, (aged 51 years) subscribed to health insurance for himself, his wife, and his son and paid a premium of ₹ 28,000. He also incurred medical expenditure for his parents during the year amounting to ₹ 32,000.

Rao, carrying business, contributed ₹ 40,000 in the National Pension Trust account. He also made a tax-saving deposit of ₹ 1,20,000 in his PPF account and ₹ 40,000 in LIC Premium.

10096 deduction in respect of donations as per section 80G without any qualifying amount or limit is available in the case of:

The Patna High Court following the decision laid down by the Bombay High Court in the case of Mahindra Sintered Products Ltd. Held that to claim special deduction u/s 80J, the assessee has to establish the fact/facts relating to

Nargis during the previous year 1 st April 2020 to 31 st March 2021 had donated the amount of ₹ 50,000 each in Africa Fund, National Children Fund, National Illness Assistance Fund, and a further amount of ₹ 30,000 in Rajiv Gandhi Foundation.

Which of the under-mentioned incomes of a Co-operative Society is not eligible for deduction under Section 80P of the Income Tax Act, 1961 when the gross total income of the society exceeds ₹ 20,000?

The quantum of deduction available to offshore Banking Units under section 80LA of Income-tax Act, 1961 located in Special Economic Zone (SEZ) and satisfying all conditions from the Gross Total Income is:

S JG Ltd., a manufacturer of leather goods in a factory located at Noida having an annual turnover of ₹ 50 Crore. The company, during the year, employed 200 new regular workers in the factory, which was 2096 of the existing workforce employed on the last day of the preceding year. It paid ₹ 30 lakh to the new workers during the year as additional wages. All workmen were employed from 1st May 2019.

The contribution made or given other than by way of cash by an Indian company in the previous year to any political party or to an electoral trust shall be allowed as deduction while computing its total income under section 80GGB of Income-tax Act, 1961 of an amount maximum or up to:

The maximum amount of deduction (in terms of ₹) in the case of an individual who is resident in India, a patentee, and in receipt of income by way of royalty in respect of a patent registered on or after the first day of April 2003 under the Patents Act, 1970 is allowed:

The profits of a co-operative society engaged in (i) Carrying out the business of banking, (ii) A cottage industry, and (iii) Collective disposal of labors of its member are eligible for deduction u/s 80P up-to

An assessee can avail of the deduction in respect of rent paid u/s 80GG of the Act subject to a maximum amount of:

50% deduction of the eligible amount is allowed u/s 80CCG, provided some of the conditions out of the following are to be fulfilled:

Deduction u/s 80C from the gross total income of an amount equal to the eligible investment made subject to a maximum amount of ₹ 1,50,000 is allowed to the assessee who is:

Mr. Ganesh gave a donation by way of a cheque of ₹ 40,000 and by cash ₹ 5,000 to an approved charitable trust having recognition under section 80G. His gross total income for the assessment year 2021-22 is ₹ 5 lakh.

Mr. Rath borrowed a loan of ₹ 10 lakh for higher education in India in the year 2009-10. He completed the course study in 2012-13. He started repayment of the loan in April 2014. He paid interest of ₹ 41,000 and principal of ₹ 1,20,000 during the financial year 2020-21.

Sudhan Ltd. incorporated in April 2020 commenced commercial production from 1.6.2020. It deployed 100 employees who were employed for 260 days during the year and recruited 50 casual workmen who were employed for 100 days during the financial year 2020-21. The salary paid to 100 employees was ₹ 25 lakh and the salary paid to casual workmen was ₹ 6 lakh.

Mr. Anand engaged in business wants to deposit in the pension fund of the Life Insurance Corporation of India.

Mr. Baskar a person with a disability referred to in Section 80U is employed in a bank. He paid ₹ 50,000 as a premium on the life insurance policy taken on himself and whose sum assured is ₹ 4 lakh.

Mr. Veer earns a monthly rental income of ₹ 60,000 from house property. He suffers from a severe disability and has obtained a certificate from the prescribed medical authority. He has not incurred any expenditure towards the treatment of severe disability.

Mr. Uday is a resident individual having a patent registered on 1.7.2016 under the Patents Act, 1970. He received ₹ 5 lakh by way of royalty from ABC Ltd. during the financial year 2020-21.

Mr. Mithun acquired a house property for ₹ 8 lakhs and paid stamp duty and registration fee of ₹ 80,000. He borrowed a housing loan and repaid a principal of ₹ 60,000 and interest of ₹ 20,000.

Donation to university for research in Social Science is eligible for deduction at:

Deduction under Section 80G on account of donation is allowed to:

Shravan engaged in the business paid monthly rent of 15,000 by cheque for his residence during the previous year 2020-21. His adjusted total income is ₹ 3,40,000.

Raghunath repaid during the previous year 2020-2021 education loan of ₹ 60,000 and interest on an education loan of ₹ 18,000 taken from Punjab National Bank for his son to pursue MS in India. The loan was taken in the financial year 2013-2014 and the payment commenced from the financial year 2014-2015.

Deduction available u/s 80GG in respect of rent paid cannot be more than –

An amount up to a maximum of ₹ 10,000 is deductible under Section 80TTA from the gross total income of

Under section 80QQB, the maximum deduction in respect of royalty is allowed up to

When a person suffers from severe disability, the quantum of deduction allowable under Section 80U is

In the case of which of the following co-operative society, the deduction under Section 80P is restricted to ₹ 1,00,000

Deduction under section 80C can be claimed for a fixed deposit made in any scheduled bank if the minimum period of deposit is

Deduction in respect of interest on savings accounts under Section 80TTA shall be allowed with respect to a savings account with

Rajan paid ₹ 25,000 to LIC of India for the maintenance of his disabled son and incurred ₹ 15,000 for the treatment of his handicapped wife who is working in the State Bank of India.

Bharat, engaged in business, claimed that he paid ₹ 10,000per a month by cheque as rent for his residence. He does not own any residential buildings. His total income computed before deduction under section 80GG is ₹ 3,40,000.

Raghu’s father is dependent on him and suffering from 90% disability. Raghu has incurred an amount of ₹ 72,500 in maintaining and medical treatment of his father.

An individual has made investments in the schemes approved u/s 80C, and 80CCD of ₹ 2,50,000 and ₹ 1,00,000 respectively during the year ended 31st March 2021.

The monetary limit for deduction in respect of royalty on patents received by a resident individual is

Which of the following cannot claim a deduction for the loan taken to purchase a house property?

Raman purchased a residential house property in Ahmedabad on loan for which he paid an interest of ₹ 50,000 during the previous year. He is working in Delhi and getting an HRA of ₹ 4,000 per month.

Deduction in respect of donations to National Defence Fund is allowed u/s

Under the Income-tax Act, 1961, which of the following can claim a deduction for any sum contributed during the previous year to a political party or electoral trust

Sahil works in a technology company. On 1st January 2019, he took a loan of ₹ 2,40,000 from his company for the education of his daughter. During the year 2020-21, he paid an interest of ₹ 46,000 towards the said loan and repaid the principal component of ₹ 10,000.

Deduction under section 80CCG is available to an eligible resident individual whose gross total income does not exceed

An Indian resident patentee is entitled to a deduction u/s 80RRB to the extent of

The maximum amount of deduction u/s 80U allowed to a person with 80% or more of one or more disabilities is

Following is not allowed as deduction u/s 80TTA

The maximum possible amount of deduction u/s 80DDB for senior citizen is

For the year ended 31 st March 2021, Paresh receives a salary of ₹ 2,80,000. Paresh’s contribution to employees’ recognized provident fund account is ₹ 59,000 and a matching contribution has been made by the employer.