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WorksheetsServices Sector_Indian Budget 2026
Total questions: 35
Worksheet time: 18mins
Which long-term target is set for India’s share in global services exports by 2047?
8 percent of global services exports
10 percent of global services exports
5 percent of global services exports
12 percent of global services exports
Which services are unified under the single category 'Information Technology Services' for tax purposes?
Digital advertising and logistics services
Knowledge process outsourcing and contract R&D
Software development and ITES
Cloud infrastructure operations and telecom retail
What is the common safe harbour margin introduced for transfer pricing in IT services?
13.5 percent margin for transfer pricing
12.0 percent margin for transfer pricing
15.5 percent margin for transfer pricing
18.0 percent margin for transfer pricing
The safe harbour threshold for larger service firms increased from ₹300 crore to what level?
₹1,500 crore threshold limit
₹2,500 crore threshold limit
₹2,000 crore threshold limit
₹1,000 crore threshold limit
Which policy measure aims to speed certainty for exporters through APAs?
Uncapped filing windows for pricing cases
Automated approvals with capped timelines
Quarterly renegotiation of APA terms
Peer-review panels for APA audits
Foreign cloud providers using Indian data centres to serve global clients are offered which incentive?
Tax holiday on such services until 2047
Reduced GST on equipment imports
Subsidised land for data parks
Priority spectrum allocation for cloud
Which objective best captures the budget’s stance on the services sector?
Replace services with manufacturing
Limit services to domestic consumption
Place services at the growth forefront
Shift investment away from services
Which initiatives directly strengthen tourism workforce capabilities?
Creating AVGC Content Creator Labs in schools
Mandating homestay licensing in all states
Upgrading National Council to Institute of Hospitality
Upskilling 10,000 tourist guides at iconic sites
What change was made to Tax Collected at Source (TCS) on overseas tour packages?
Increased to 5 percent on tour packages
Reduced to 2 percent on tour packages
Applied only to domestic tour packages
Eliminated entirely for all packages
Which tourism projects are emphasised to promote eco- and heritage experiences?
Luxury malls and cruise terminals
Desert resorts and casino zones
Hiking trails and wildlife circuits
Urban theme parks and aquariums
How many Regional Medical Value Tourism Hubs are proposed with private participation?
Six regional medical tourism hubs
Four regional medical tourism hubs
Five regional medical tourism hubs
Three regional medical tourism hubs
Which services are planned within the medical hubs to diversify healthcare offerings?
AYUSH centres and diagnostics services
Medical facilitation and post‑care rehabilitation
Cosmetic retail and fitness franchising
Genome editing and veterinary boarding
Which workforce segment will be expanded through upgraded institutions across ten disciplines?
Health tourism marketers for airlines
Freelance medical transcription operators
Independent insurance adjusters nationwide
Allied health professionals to meet service needs
What is a key mandate of the ‘Education to Employment and Enterprise’ Standing Committee?
Privatise national training institutes
Align education with service sector skills
Cap enrolment in AI-related degrees
Fix tariffs for hotel services annually
Which sectors are prioritised by the standing committee for emerging skills alignment?
Tourism and healthcare
AI and digital services
Creative industries and comics sector
Primary agriculture and coal mining
Which initiative is designed to build a talent pipeline for fast-growing digital content and media services in schools and colleges?
Cloud Sandbox for Creative Startups
National Export Facilitation Corridors
AVGC Content Creator Labs in institutions
Regional Digital Literacy Missions
What primary outcome is expected from focusing on future skills across service sectors?
Shifting training away from care roles
Reducing cultural content digitization needs
Raising tariffs on imported services
Narrowing the service demand–readiness gap
Which statement best captures the aim of export and regulatory support for service providers?
Centralize all services under one ministry
Expand subsidies for domestic media hardware
Prioritize import substitution for creative goods
Simplify classification and taxes to grow exports
How does the National Destination Digital Knowledge Grid contribute to services trade?
Limits documentation to domestic-only archives
Replaces regional hubs with central control
Provides tax holidays for foreign outsourcing
Enables export-ready cultural and heritage content
In the summary of key service sector takeaways, which pairing correctly matches a category with its Budget 2026 measures?
Creative & Cultural Services — AVGC labs, digital heritage grid
Healthcare & Medical Tourism — tax holiday for cloud services
Tourism & Hospitality — unified taxation and safe harbour
IT & Digital Services — guide training and TCS cuts
Which implications are linked to IT & Digital Services after unifying taxation and safe harbour rules?
Greater fragmentation of service classifications
Reduced compliance and higher global competitiveness
Lower demand for software exports and ITES
More tariffs on cloud and contract R&D
Which measures are associated with Emerging Tech & AI according to the summary?
Safe harbour for tourism foreign exchange
Regional hubs for heritage conservation
Tax clarity for logistics and shipping firms
AI jobs panel and embedding into education
Multiple initiatives aim to increase services exports. Which of the following are part of this push?
Restricting IT-enabled services to domestic markets
Introducing the digital knowledge grid for documentation
Establishing growth-focused institutions for providers
Simplifying service classification and tax compliance
Which policy most directly encourages foreign cloud providers to host data in-country using local data centres?
Mandated public cloud usage for all ministries
Tariff cuts on imported server hardware only
Subsidies for outbound tourism marketing campaigns
Tax holiday on cloud services until 2047
A multinational cloud vendor sells services to Indian customers through a local reseller and uses Indian data centres. Under the new measures, which benefit applies?
Long-term tax holiday through 2047
Accelerated depreciation on vehicles
One-time tax rebate for 2026
Reduced export duty on software
Which initiative aims to evaluate implications of artificial intelligence on employment and service delivery?
A grant program for travel guide certification
A taskforce for movie tax incentives
A panel to assess AI’s impact on jobs and services
A council for tourism destination branding
Select all measures that strengthen the broader digital services ecosystem.
Incentives for data localisation and cloud infrastructure
Tax holidays for cloud services until 2047
Cuts to TCS on overseas tour packages
Pilot projects to upskill tourist guides
Which area is explicitly targeted to build a pipeline of creative industry talent in schools and colleges?
Animation, Visual Effects, Gaming & Comics labs
Massive open online courses for law schools
Subsidies for traditional print media presses
Mandated internships at public banks
In the care economy agenda, which action is prioritized to support health and allied services?
Universal basic income for all residents
Tax credits for luxury hotel construction
Caregiver training programs and ecosystem development
Privatization of public transportation services
Which combination best reflects the healthcare services thrust mentioned?
Import bans on foreign medical devices
Exclusive subsidies for cosmetic surgery clinics
Regional medical hubs and allied workforce growth
Mandatory telemedicine for primary care
What is the intended outcome of raising safe-harbour thresholds and automating APA approvals for exporters and service leaders?
Stricter quotas on data centre permits
Increased TCS collections on travel
Higher tariffs on cross-border services
Reduced tax disputes and greater predictability
Which sectors are grouped as key enablers for faster services growth alongside AI, according to industry commentary?
Digital infrastructure, data centres, and creative ecosystems
Coal mining leases and rail freight corridors
Textile parks and apparel export rebates
Agricultural subsidies and fertilizer logistics
Choose all items that directly support tourism competitiveness mentioned in the material.
Tax holiday for cloud services
Formation of an AI impact panel
Upskilling tourist guides
TCS reduction on overseas tour packages
What is a significant benefit of integrating AI into service sector training programs?
Increased job displacement in traditional roles
Enhanced efficiency and skill alignment
Higher costs for training institutions
Reduced need for digital literacy
Which initiative is aimed at fostering innovation in the creative services sector?
Creative Industry Tax Incentives
National Digital Content Fund
Global Media Exchange Program
Digital Skills Development Workshops
