Part A – Chapter 3 – Incomes which do not form part of Total Income MCQs – Set III

Short term capital assets means a capital asset held by an assessee for not more than _____ immediately preceding the date of its transfer.

Which of the following is not a exception to Short Term capital assets held by an assessee for not more than 36 Months immediately preceding the date of its transfer.

Transfer in relation to capital assets includes-
i) The sale, exchange relinquishment of the assets
ii) The extinguishment of any rights therein
iii) The compulsory acquisition thereof under any law
iv) The maturity or redemption of a zero coupon bond
v) Part performance of the contract

Where any person receives any money or other assets under any insurance from an insurer on account of damage to or destruction of any capital assets, as not a result of-

Where any person receives, at any time during any previous year, any amount under ULIP issued on or after 1.2.2021, to which exemption under 10(10D) does not apply on account of-

Long term capital assets means a capital asset held by an assessee for more than _____ immediately preceding the date of its transfer.

On 17th November 2021, Mahak sold 1 kg of gold, the sale consideration of which was ₹ 1,19,760. she had acquired the gold on 11th December 2000 for ₹ 64,000. The fair market value of 1 kg gold on 1st April 2001 was ₹ 62,000. The number of capital gains chargeable to tax for the AY 2022-23 shall be

Cost of acquisition in case of bonus shares allotted before 1.4.2001 will be

Which of the following is not a requisite for charging income tax on capital gains?

In order to enjoy exemption u/s 54EC, the resultant long-term capital gains should be invested in specified bonds within a period from the date of transfer.

Siddhi has received a sum of ₹ 3,40,000 as interest on enhanced compensation for compulsory acquisition of land by the State Government in May 2021. Of this, only ₹ 12,000 pertains to the current year and the rest pertains to earlier years. The amount chargeable to tax for the AY 2022-23 would be

In terms of Section 2(42A), unlisted securities are treated as a long-term capital asset, if they are held for a period of more than

For claiming exemption u/s 54G, an assessee has to invest the resultant capital gains within a specified period. Which of the following is not eligible for such investment?

Long-term capital gains on zero-coupon bonds are chargeable to tax

Section 50C makes special provision for determining the full value of consideration in cases of transfer of

U/s 115E, the tax rate applicable for any income from investment or income from long-term capital gains of an asset other than a specified asset, for a non-resident as envisaged by Section 115C, is

A residential house is sold for ₹ 90 lakh and the long-term capital gains computed are ₹ 50 lakh. The assessee bought two residential houses for ₹ 30 lakh and ₹ 20 lakh respectively. The amount eligible for exemption u/s 54 would be

When shares of a listed company held for more than 36 months are transferred privately for ₹ 8 lakh, with the original cost of acquisition of ₹ 1 lakh whose indexed cost of acquisition is ₹ 2 lakh, the income-tax payable including cess would be

Chaman entered into an agreement with Bhuj for the sale of a building for ₹ 20 lakh in June 2021. Chaman received an advance of ₹ 2 lakh. Subsequently, the agreement was canceled and Chaman forfeited the advance money. The advance money is

Ramesh received ₹ 7 lakh by way of enhanced compensation in March 2022. A further sum of ₹ 2 lakh decreed by the Court is due but not received till 31st March 2022. The amount of income chargeable to tax for the AY 2022-23 would be

Ms. Shamita inherited a vacant site land consequent to the demise of her father on 10th June 2013. The land was acquired by her father on 10th April 1995 for ₹ 40,000. The fair market value of the land on 1 st April 2001 was ₹ 60,000 and on the date of inheritance, Le. 10th June 2013 was ₹ 2,00,000. The cost of acquisition for Ms. Shamita is

Short-term capital gains arising from the transfer of equity shares in a company or units of an equity-oriented fund or units of a business trust charged with security transaction tax are subject to income tax at the rate of

A foreign institutional investor (FIT) has total income which includes the short-term capital gains on the sale of listed shares of ₹ 30 lakh. The rate of tax for charging such income to tax is

Manohar acquired 1,000 equity shares of ₹ 10 each in a listed company for ₹ 35,000 on 1 st July 2013. The company issued 1,000 rights shares in April 2015 at ₹ 15 per share. The company issued 2,000 bonus shares in June 2021. The market price was ₹ 50 per share before the bonus issue and ₹ 25 after such an issue. The cost of the acquisition of bonus shares would be

Cost of acquisition of securities held with depositories is to be computed by –

Long-term capital gains on the sale of a long-term capital asset in October 2021 is 1105 lakh. The assessee invested 150 lakh in REC bonds in March 2022 and ₹ 55 lakh in MIAI bonds in May 2022.
The amount of exemption eligible under Section 54EC is

Ranjan purchased a car for his personal use for ₹ 5,00,000 in April 2021 and sold the same for ₹ 5,50,000 in July 2021. The taxable capital gains would be

Mrs. Leela purchased shares of ABB Ltd. for ₹ 5 lakhs on 3rd April 2019. The shares were sold on 5th June 2021 for ₹ 7 lakhs. She paid STT of ₹ 700 and brokerage of ₹ 500. Capital gain chargeable to tax:

Ms. Naina acquired 1,000 equity shares of QPR Ltd. (unlisted company) for ₹ 4 lakh in April 2009. She received bonus shares on a 1:1 basis in April 2021 from the company. She sold bonus shares in January 2022 for ₹ 8 lakhs. The capital gain chargeable to tax in the hands of Ms. Naina for the assessment year 2022-23 is:

Mr. Manan sold vacant land for ₹ 120 lakh on 10.10.2021. The indexed cost of acquisition amounts to ₹ 18 lakhs. He deposited ₹ 50 lakhs in REC bonds in January 2022 and another ₹ 50 lakh in March 2022.The amount of capital gain liable to tax after deduction under section 54EC is:

Which of the following is not a capital asset for Mr. Rao who is employed in a public sector bank?

On 1.6.2021 Kamal transferred his vacant land to Rajesh for ₹ 12 lakhs. The land was acquired on 1.9.2018 for ₹ 3 lakh. The indexed cost of acquisition of the said land is ₹ 3,28,409.The taxable capital gain would be:

Dr. Samriddhi sold vacant land to Mr. Roy for ₹ 36 lakhs. For stamp-duty purposes, the value of land was ₹ 41 lakhs. The indexed cost of acquisition of land was computed at ₹ 20 lakhs.The taxable long-term capital gain would be:

Out of the following, which income is chargeable as capital gain:
(i) from the transfer of self-generated goodwill of profession.
(ii) from the transfer of personal jewelry
(iii) from the transfer of paintings and art-work
(iv) from the transfer of furniture utilized for personal use
Select the correct answer from the options given below:

Land or building, or both, if transferred on or after 1st April 2020 shall be treated as a long term capital asset, if it is being held immediately prior to the date of its transfer for more than:

The base year for the purpose of calculation of the indexed cost of acquisition or the cost of improvement in respect of long term capital asset acquired prior to 1st April 2001 shall be taken as:

X entered into an agreement for the sale of his house located at Jaipur to Y on 1st April 2021 for a total sale consideration of ₹ 90 lakh. Y paid an amount of ₹ 20 lakh by account payee cheque to X on the date of the agreement and the balance was to be paid at the time of registration of the deed. However, the conveyance deed could not be executed till 1st September 2021. The Stamp Valuation Authority determined the value of the property on the date of registration of conveyance deed at ₹ 120 lakh and the value determined by the Stamp Valuation Authority on the date of the agreement was ₹ 100 lakh.The value for the purpose of capital gain u/ s 50C shall be taken:

The cost of improvement in relation to the capital asset being goodwill of the business shall be taken to be as:

In a scheme of buyback of shares,POL Ltd., a listed company, paid ₹ 6 lakh to a shareholder X on 12.3.2022. The buy-back was through the recognized stock exchange. The sum of ₹ 6 lakh received by X who had bought these shares 2 years back will be:

Raman has sold his house on 11th August 2020 for ₹ 80 lakh. The value applied by Stamp Valuation Authority is 1100 lakh. He disputed this valuation and the departmental valuation cell made the valuation at ₹ 110 lakh.The value to be taken for calculation of capital gain as per Section 50C is:

Riddhi has sold his residential house on 11th Sept. 2021 for ₹ 75 lakh. The value applied by the Stamp Valuation Authority on the date of registration of the Conveyance Deed on 15th Sept. 2021 was ₹ 115 lakh. Riddhi disputed the valuation made by the Stamp Valuation Authority and asked the departmental valuation officer to determine the value of the house on the date of registration of the deed. The departmental valuation officer determined the value of the house on the date of registration of the deed at ₹ 120 lakh.The sale value of the house to be taken for calculation of capital gain in AY 2022-23 as per section…………..shall be……..

Exemption under section 54G on fulfilling of specified conditions is available on:

Neel, a retired person of 68 years of age obtained ₹ 10,000 per month from 1st April 2021 on a reverse mortgage of his self-occupied residential property from a bank. The fair rent of the property is ₹ 15,000 per month. The income chargeable to tax in respect of amount received on reverse mortgage for his self-occupied house property for the FY 2021-22 would be:

Birju joined Arnav & Co. as a partner on 1st June 2021. He contributed his vacant land in the firm as his capital which was recorded in the books of the firm at ₹ 5 lakh. The land was inherited by B from his father in April 2010 and the Fair Market Value (FMV) on that date was ₹ 2 lakh. The land was originally acquired by his father in August 2005 for ₹ 1 lakh. The Fair Market Value (FMV) on 1st June 2018 was ₹ 10 lakh.The full value of the consideration received as a result of the transfer of land by Birju as capital would be taken as:

Dublak (P) Ltd., engaged in the steel industry, acquired a vacant piece of land on 15th May 2018. The company sold the said land in December 2020. The profit earned on the sale of vacant land of ₹ 10 lakh shall be taxable as:

Teena transferred Zero-Coupon Bonds on 20th August 2021. These bonds were acquired during the financial year 2011-2012. The capital gain computed on the redemption with indexation benefit is ₹ 2 lakh and without indexation benefit is ₹ 3 lakh.The long term capital gain would be chargeable to tax on such Zero-Coupon Bonds in AY 2022-2023:

Indexed cost of acquisition of the house property purchased for ₹ 80 lakh in June 1998 and was sold in December 2020 will be ₹ (worked out by taking the CD of 1998-99 as 351; of the year 2001-02 as 100; of the year 2020-21: 301) and FMV of the house property as on 1st April 2001 of ₹ 90 lakh.