Section 87A-91, 111(A)-115I (Income Tax Act 1961)

What type of income is covered under the special tax regime of Section 115BBF of the Income Tax Act, 1961?

• A) Income from agricultural land

• B) Royalty from patents developed and registered in India

• C) Capital gains from sale of equity shares

• D) Income from foreign dividends

An Offshore Financial Institution earns ₹50 lakhs as long-term capital gains from the transfer of units purchased in foreign currency from a specified mutual fund. What is the applicable tax rate under Section 115AB?

• A. 20%

• B. 10%

• C. 15%

• D. Exempt

A non-resident earns royalty income of ₹10 lakhs from an Indian company for a technical service agreement approved by the Central Government. What is the applicable tax rate under Section 115A?

• A. 10%

• B. 20%

• C. 15%

• D. 25%

The amendment to Section 115BBE, increasing the tax rate to 60%, was introduced through which Act and became applicable from which assessment year?

• A) Finance Act, 2016 – AY 2016-17

• B) Taxation Laws (Second Amendment) Act, 2016 – AY 2017-18

• C) Income Tax Amendment Act, 2017 – AY 2018-19

• D) Taxation and Investment Reform Act, 2015 – AY 2016-17

Section 112A deals with taxation of:

• A. Short-term capital gains on listed shares

• B. Long-term capital gains on equity shares and equity mutual funds where STT is paid

• C. Income from salary

• D. Long-term capital gains on land and building

What is the effective tax rate on income from undisclosed sources under Section 115BBE of the Income Tax Act?

• A) 60% flat

• B) 60% + 10% surcharge + 4% cess

• C) 60% + 25% surcharge + 4% cess

• D) 30% + 15% surcharge + 4% cess

Under Section 115AC, interest received by a non-resident on bonds of an Indian company issued in foreign currency outside India is taxed at:

• A. 5%

• B. 10%

• C. 15%

• D. 20%

Is rebate under Section 87A allowed on tax computed under Section 111A?

• Yes

• No

When a Non-Resident Indian (NRI) becomes a resident in India, how can they continue to avail benefits under Chapter XIIA (special provisions for NRIs) on investment income?

• A) By submitting Form 10F before due date

• B) By applying to the CBDT for special permission

• C) By filing a declaration along with return under Section 139

• D) By converting all foreign assets to Indian currency before return filing

Under Section 115BAB of the Income Tax Act, 1961, which of the following conditions must a domestic manufacturing company satisfy to avail the concessional tax rate of 15%?

• A. The company must be incorporated on or after October 1, 2019, and commence manufacturing before March 31, 2023

• B. The company must not avail any deduction under Chapter VI-A under Part C, or Section 10AA

• C. The company must not be formed by splitting up or reconstruction of an existing business

• D. All of the above