Articleship assessment test ICAI – Level 1 | Direct Tax MCQ – Capital Gains

Articleship assessment test ICAI – MCQ

Question 1:- 

Profit or gain arising from transfer of a capital asset, effected in the previous year shall be chargeable to tax under the head _____________.

(a) Income from House Property

(b) Income from PGBP

(c) Income from Capital Gain

(d) Income from Other Sources

Question 2:- 

Capital Gains arises only when _____________ is transferred.

(a) Capital Asset

(b) Any asset

(c) Fictitious asset

(d) All of the above

Question 3:- 

Which of the following is not included in the definition of capital asset?

(a) Jewellery

(b) Archaeological collections

(c) Rural agricultural land

(d) Both A and B

Question 4:- 

Are sculptures included or excluded from the definition of capital asset u/s 2(14)?

(a) Included

(b) Excluded

(c) Partly included

(d) None of the above

Question 5:- 

Securities held by Foreign Institutional Investors ___________ be treated as capital asset.

(a) Shall

(b) Shall not

(c) Either A or B

(d) None of the above

Answers

1. (c) Income from Capital Gain
2. (a) Capital Asset
3. (c) Rural agricultural land
4. (a) Included
5. (a) Shall