1 .................. is legal as well as ethical.

(A) Tax Planning

(B) Tax A voidance
(C) Tax Evasion
(D) Tax Management

2 ................. Means the "art of dodging tax without breaking the law".
(A) Tax Planning '
(B) Tax Avoidance
(C) Tax Evasion
(D) Tax Management

3 If Mr. SP, an individual deposits Rs.l,00,000 in Public Provident Fund Account, so as

, to reduce his tax liability, this can be called as an act of ............... .
(A) Tax Planning
(B) Tax Avoidance
(C) Tax Evasion
(D) Tax Management

4 Which of the following will not be considered 'Dividend' u/s 2(22) of Income Tax
Act, 1961?
(A) Distribution entailing release of company's assets
(B) Issuing Right Shares to shareholders
(C) Distribution on liquidation of company
(D) Distribution on reduction of share capital

5 What is the rate of Dividend Distribution Tax for Domestic Companies'?

(A) 10%
(B) 16.2225%
(C) 7.5%
(D) 5%
6 Issue of bonus shares to Equity shareholders was taxable in the hands of ............ .. Before June 1 st, 1997.
(A) Company issuing such bonus shares
(B) Equity shareholders
(C) Both Company issuing such bonus shares and Preference shareholders
(D) None of the above
7 While amalgamation there must be a provision in the……………. of both the Companies to amalgamate with
any other company.
(A) Memorandum of Association of Both the companies
(B) Articles of Association of amalgamating Company
(C) Both Memorandums of Association and Articles of Association of Association of both the companies
(D)None of Above

8 At the end of lease period ______ __

(A) Lessee becomes the owner of assets
(B) Lessee disposes of assets
(C) Lessor take back the assets
(D) All of Above

9 Optimum Capital structure means ......... .

(A)High Cost of Capital and low firm value
(B)Low Cost of Capital and High firm value
(C) High Cost of Capital and High firm value
(D)Low Cost of Capital and low firm value

10 In case of demerger__________ of the undertaking, being transferred by the demerged company,

immediately before the demerger, becomes the property of the resulting company by virtue of the demerger. .
(A) More than 3/4th property
(B) More that 60% of the property
(C) all the property
(D)More that 50% of the property

11 An employee cannot claim benefit of exemption on ……......

(A) death-cum-retirement gratuity
(B) Uncommitted pension
(C) Retrenchment compassion.
(D) Contribution to provident fund

12 In a scheme of amalgamation u/s 2(1B), all the proportion of …………..company should be vested in
____________company.
(A) Amalgamated, amalgamating
(B) Amalgamating, amalgamated
(C) Merged, Demerged
(D) Acquired, Acquisition

13 If condition u/s 72A of income tax act are not satisfied, the amalgamating company cannot claim benefit
of_______________.
(A) Unabsorbed depreciation
(B) Accumulated losses
(C) Both
(D) Norie of above

14 Non-disclosure of income from 'Benami Transactions' is an act of ............... .

(A) Tax Planning
(B) Tax Avoidance
(C) Tax Evasion
(D) Tax Management

15 KP Ltd wants to Merge with DP Ltd. What are the legal procedures to be followed for the said purpose,
Kindly arrange it as per law
1. High Court's Approval
2. Intimation to Stock Exchange
3. Obtaining Government Approval
4, Provision in the object clause
(A)1,2,3,4 (B) 2,3,1,4 (C) 4,3,2,1 (D)3,2,4,1