13 Questions
What is the definition of 'business' according to taxation law?
Any trade, commerce, or manufacture, or any adventure or concern in the nature of trade, commerce, or manufacture
Which of the following expenses is disallowed for tax purposes?
Salary paid outside India without tax deducted at source
What is considered as a disallowed income according to taxation law?
Dividends received
According to taxation law, what occupation requires purely an intellectual skill or manual skill controlled by the intellectual skill of the operator?
Profession
What is the difference between business and profession according to taxation law?
Business involves buying and selling goods for profit, while profession involves purely intellectual skills
Which of the following is a disallowed expense for tax purposes?
Advertisement expenses
What is the definition of 'capital gain'?
Profit on transfer or sale of asset is known as capital gain
What is the difference between short term and long term capital gain?
Long term capital gain - the profit earned from the sale of assets when they are held for more than 12 months at the time of sale. Short term capital gain – profit on sale of asset which is held for less than 12 months
What does 'indexing' refer to in the context of accounting?
Showing inflated or increased cost price, instead of actual price, justified on account of inflation
What does 'security' refer to in financial terms?
A document acknowledging the debt by specific authority from general public
What does 'grossing up' mean in accounting?
Interest received by the assessee is net interest and the same is to be converted into gross interest
What is the meaning of 'gross total income' according to section 14?
The income of a person is computed under five heads: salaries, income from house property, profits and gains of business or profession, capital gains, and other sources
What does 'cost of acquisition' include?
Total of all the expenses incurred by the assessee for acquiring the asset i.e., purchase price and expenses incurred after purchase till its first use
This quiz covers viva questions related to taxation, including the definition of business and disallowed expenses. It includes explanations of trade, commerce, and disallowed expenses such as advertisement expenses and disallowed income tax payments.
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