This quiz works best with JavaScript enabled. Home > Finance > Accounting > Taxation > Taxation – Quiz 6 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Taxation Quiz 6 (30 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Do we have a taxation system in South Africa? A) No. B) Yes. Show Answer Correct Answer: B) Yes. 2. The term' income' includes the following types of incomes- A) Legal. B) Illegal. C) Legal and illegal both. D) None of these. Show Answer Correct Answer: C) Legal and illegal both. 3. There is no relation of the residential status of individual to his citizenship. A) True. B) False. Show Answer Correct Answer: A) True. 4. Toll is a demand of proprietorship.Tax is a demand of proprietorship. A) FALSE, TRUE. B) TRUE; TRUE. C) FALSE, FALSE. D) TRUE, FALSE. Show Answer Correct Answer: D) TRUE, FALSE. 5. Which of the following expenses is considered as a purchase and can not apply for a credit on the input? A) Cost of mobile phone service fee. B) Buying a car (4 seats). C) Cost of food (for guests) at the restaurant. D) Pay on the import of goods. Show Answer Correct Answer: C) Cost of food (for guests) at the restaurant. 6. Capital gain taxable under which section A) Section 45. B) Section 5. C) Section 10. D) Section 25. Show Answer Correct Answer: A) Section 45. 7. How many credits can you earn in one year? A) 4. B) 3. C) 1. D) 2. Show Answer Correct Answer: A) 4. 8. People pay this tax on the money they earn. A) Capital gains tax. B) Corporation tax. C) Income tax. D) Tariffs. Show Answer Correct Answer: C) Income tax. 9. What is the full form of GST? A) Goods and Supply Tax. B) Goods and Services Tax. C) General Sales Tax. D) Government Sales Tax. Show Answer Correct Answer: B) Goods and Services Tax. 10. Paid for by the people to support the government which in turn provides services for it's people. A) Income. B) Insurance. C) Taxes. D) Donations. Show Answer Correct Answer: C) Taxes. 11. Employees may deduct their medical aid contributions before calculating tax. A) False. B) True. Show Answer Correct Answer: A) False. 12. Financial year means a year commencing on- A) 31st March of the period. B) 1" day of the April. C) Mid of the year. D) None of these. Show Answer Correct Answer: B) 1" day of the April. 13. Tax on documents that is payable from the time the document is signed by interested parties, or when the document is completed or submitted to another party, if the document is only made by one party is called A) BPHTB. B) Import Duty. C) Customs. D) Stamp Duty. Show Answer Correct Answer: D) Stamp Duty. 14. Reducing the amount of tax you pay to a legal minimum is called ..... A) Tax harbours. B) Tax avoidance. C) Tax evasion. D) Creative accounting. Show Answer Correct Answer: B) Tax avoidance. 15. What is a refusal to buy goods called? A) Congress. B) Bankrupt. C) Repeal. D) Boycott. Show Answer Correct Answer: D) Boycott. 16. I was surprised that she ..... say such rude words. A) Would. B) Should. C) Will. D) Must. Show Answer Correct Answer: B) Should. 17. As per Section 2(2) of the Customs Act, 1962, "assessment" includes(I) Provisional assessment(II) Self-assessment(III) Reassessment(IV) Any assessment in which the duty assessed is NIL.Select the correct answer from the options given below: A) (I) & (II). B) (I), (II) & (IV). C) (I), (II) & (III). D) All (I) to (IV). Show Answer Correct Answer: D) All (I) to (IV). 18. Encashment of leave salary at the time of retirement is fully exempt in the case of: A) Central Government employee. B) State Government employee. C) Both Central and State Government employees. D) Government employee and employee of local authority. Show Answer Correct Answer: C) Both Central and State Government employees. 19. The government has adopted a contractionary fiscal policy focused on taxation. This policy will: A) Reduce any inflationary pressures in the economy. B) Lead to an increase in interest rates. C) Lead to an appreciation of the currency. D) Increase economic growth in the long term. Show Answer Correct Answer: A) Reduce any inflationary pressures in the economy. 20. Allowed expenses will only be expenses from January to December of a particular year. A) False. B) True. Show Answer Correct Answer: B) True. 21. The income tax act came into force all over india except. A) Andaman & Nicobar. B) Maldives. C) Jammu & Kashmir. D) None of the above. Show Answer Correct Answer: D) None of the above. 22. Remuneration to Partners is taxable in the hands of the Partner to the extent. A) Always. B) Not taxable at all. C) Deductible to the firm. D) Not deductible to the firm. Show Answer Correct Answer: C) Deductible to the firm. 23. Colonists were infuriated by the tea act because A) They came to North America because they hate tea. B) Tea is not better than coffee. C) England gave the West India company a monopoly on tea. D) England gave the East India Company a monopoly on tea. Show Answer Correct Answer: D) England gave the East India Company a monopoly on tea. 24. Tax Planning is medium of reducing tax- A) Legal way. B) Moral Way. C) Wise way. D) All of the above. Show Answer Correct Answer: D) All of the above. 25. All individual taxpayers are granted a personal exemption of P 50, 000.00 and additional exemptions of P 50, 000.00 for each qualified dependent up to a maximum of four dependents. A) FALSE . B) TRUE. Show Answer Correct Answer: A) FALSE . 26. What tax do you recieve from your job A) Estate. B) Excise. C) Sales. D) Income. Show Answer Correct Answer: D) Income. 27. The source of tax payment is: A) Wages. B) Profit. C) Interests. D) All answers are correct. Show Answer Correct Answer: D) All answers are correct. 28. A type of tax levied on individuals who inherit the estate of a deceased person. A) Value added tax. B) Consumption tax. C) Inheritance tax. D) Income tax. E) Payroll tax. Show Answer Correct Answer: C) Inheritance tax. 29. Taxes are levied for public purpose or purposes. A) True. B) False. Show Answer Correct Answer: A) True. 30. The highest CGST rate legally permitted for intrastate supplies is ..... A) 40%. B) 18%. C) 20%. D) 20%+cess. Show Answer Correct Answer: A) 40%. ← PreviousNext →Related QuizzesAccounting QuizzesFinance QuizzesTaxation Quiz 1Taxation Quiz 2Taxation Quiz 3Taxation Quiz 4Taxation Quiz 5Taxation Quiz 7Taxation Quiz 8Taxation Quiz 9 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books