Frequently Asked Income Tax Questions and Answers for Bank Exams

Income Tax Questions

Q.9 Which one of the following is not related with income from corporate sector in India?

(A) fringe benefit tax

(B) tax on company profit

(C) minimum alternative tax

(D) capital gains tax

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Q.10 A larger part of the fiscal deficit in the Union Budget is filled by.

(A) tax revenue

(B) domestic borrowing 

(C) foreign borrowing

(D) Printing paper currency

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Q.11 Which on of the following is not an objective of fiscal policy of Indian Government?

(A) Full employment

(B) Price stability

(C) Equitable distribution of wealth and income

(D) Regulation of inter-State trade

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Q.12 The tax on import and export is known as…

(A) income tax

(B) trade tax

(C) custom duty

(D) excise duty

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Q.13 VAT is imposed.

(A) Directly on consumer

(B) On final stage of the production

(C) On first stage of the production

(D) On all stages between production and final sale.

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Q.14 The extent of money transfer to states out of sharable pool of tax collection according to the 12^th finance commission has been fixed at…..

(A) 29%

(B) 29.5%

(C) 30.5%

(D) 32.5%

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Q.15 With what subject is Raghuram Rajan Committee connected?

(A) Austerity in Government Expenditure

(B) Financial Sector Reforms

(C) Export Import Balance

(D) Rising Prices

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Q.16 If interest payments are subtracted from Gross Fiscal Deficit, the residuary will be…..

(A) Gross Primary Deficit

(B) Budgetary Deficit

(C) Monetised Deficit

(D) Revenue Deficit

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