MCQs of Income Tax

101. Deductible allowance for profit on debt is explained under ____ section of ITO, 2001?
a. 60 D
b. 60 C
c. 60 B
d. 60 A

102. Section 60 D of Income Tax Ordinance 2001 deals with ___________?
a. Deductible allowance for profit on debt
b. Workers’ participation fund
c. Workers’ welfare fund
d. Deductible allowance for education expenses

103. Deductible allowance for education expenses are entitled to claim the deduction only if the taxable income of an individual is less than _______?
a. One million
b. Two and a half million
c. One and a half million
d. NOT

104. Charitable Donation is discussed under which section of ITO?
a. 60D
b. 61
c. 62
d. NOT

105. Tax credits can be claimed on _______?
a. Charitable donation
b. Investment in shares and insurance
c. Contribution to an approved pension fund
d. Employment generation by manufacturers
e. Point of sale machine
f. AOT

106. Charitable donations are______?
a. Board of education or university in Pakistan
b. Educational institutions, hospitals, or relief fund
c. Non-profit organizations or organizations mentioned in the 13th schedule
d. AOT

107. Tex Credit can be claimed on charitable donation with ________ formula
a. A×B/100 ×C
b. (A×B)/100
c. (A×B) × C
d. NOT

108. While claiming tax credit on charitable donation the A in the formula is__?
a. Taxable income of the person
b. The total amount of person’s donation
c. Fifteen percent of taxable income
d. NOT

109. Tax credit on charitable donation can only be claimed if it was paid in ______ form?
a. Cash
b. Cross cheque
c. Both a and b
d. NOT

110. Section 62 of ITO 2001 deals with ___________?
a. Tax credit for charitable donations
b. Tax credit for investment in shares and insurance
c. Tax credit for investment in health insurance
d. NOT