Fin 623 All Combined MCQs

FINALTERM EXAMINATION
FIN623- Taxation Management (Session - 1) Spring 2009
Question No: 1 ( Marks: 1 ) - Please choose one
__________ is a type of tax where the tax rate increases as the income to which the rate is applied increases.
Proportional tax
Progressive tax
Regressive tax
Corporate tax
Ref:
™ Progressive Taxes
This is based on the “capacity to pay” principle of taxation. In this type, the rate of tax increase asthe income increase.
If the accounting year of Mr. Aslam, a rice exporter is started from 01 January 2005 and ending on 31st December
2005. What will be its tax year?
Tax year 2003
Tax year 2004
Tax year 2005
Tax year 2006
In case of lump sum receipt of income like Golden hand shake the tax payer pays tax in which of the following way?
Average of last 3 years tax rate
Option to choose current or average of last 3 years tax rate
Current tax rate
Previous year tax rate
Which of the following methods of accounting is compulsory to adopt for Firm?
Accrual Basis
Cash Basis
Both Accrual and Cash Basis

Free to choose any kind of base
Ref:
For Companies –Accrual basis mandatory.
For Others --- optional, cash or Accrual Basis
Suppose a Profit acquired by a cultivator from the sale of standing crops or the produce after harvesting. The profit of
the cultivator will be treated in which of the following way?
Income from Business
Agriculture Income
Income from Property
Capital Gain
Ref:
Following Income are held to be “Agricultural Income”
•Profit on sale of standing crops or the produce after harvest by a cultivating owner or tenant of land.
If person supplying water to the land for the purpose of growing rice in the field and he charged money from the
cultivator against the water supplied.
What will be the tax treatment of such income?
Exempt as Agriculture Income
Allowed Reduction in tax rate
Allowed reduction in tax liability
Taxable as Non-Agriculture Income
Ref provided by azeemkhan2000: Following Incomes are held to be “Non-Agricultural Income”
 Income from sale of agricultural produce received by way of price for water supplied to land.
Mr. Imran is an employee of Provincial Government of Punjab posted in UK for two years? What will be the
residential status of Mr. Imran?
Resident Individual
Non-Resident Individual
Resident HUF
Resident AOP
Ref:
Resident Individual (Section 82)
• Is an employee or official of the Federal Government or a Provincial Government posted abroad in the tax year?
For a non-resident AOP which of the following condition must be satisfied?
Control and management of affairs of AOP is situated partly in Pakistan
Control and management of affairs of AOP is situated wholly in Pakistan
Control and management of affairs of AOP is situated wholly or partly in Pakistan
None of the given options
Ref:
Residential Status of “Association of Person” Under the law a Firm, HUF, etc. are placed under the head AOP
Control and management of affairs of AOP is situated wholly or partly in Pakistan
What is the tax treatment of the reimbursement of expenditure made by the employer?
Wholly Taxable
Wholly exempt
Partly Taxable
Not mentioned in Income Tax Ordinance 2001
Ref:
Reimbursement of expenditure by the employer is Taxable
What is the tax treatment of the leave encashment of the armed forces of Pakistan on retirement made by the
employer?
Wholly Taxable
Wholly exempt
Partly Taxable
Not mention in Income Tax Ordinance 2001
Ref:
Leave Salary:
This is taxable whenever received or right to receive is exercised by the employee. Leave encashment on retirement
falls in this category. The only exemption available is for the members of the Armed Forces of Pakistan, employees of
the Federal Government and Provincial Governments.
As part of remuneration package, a company provides for reimbursement of telephone costs on actual basis to its
employees in case the facility is used for official purposes only, what are the tax consequences of this policy?
Treated as taxable
No tax consequences
Partially taxable
Not discussed in Income Tax Ordinance 2001
Ref:
Reimbursement of expenditure by the employer is Taxable
MTS stands for which of the following?
Minimum time scale
Minimum transfer Salary
Maximum time scale
Maximum transfer Salary
Ref:
Concept of MTS (Minimum of Time Scale):
This is the starting point or minimum amount which is available to an employee under a time scale
Condition for the approval of gratuity fund is based on which of the following?
Trust is irrevocable
Trust is revocable
Trust is established by Government
Trust is approved by Officer of Income Tax
Ref:
Condition for Approval
• • Fund established under an irrevocable trust and purposes of gratuity fulfilled.
Clause (10) and (11) of Part 1 of second schedule related to Pension are omitted by which of the following?
Finance Ordinance 2004
Finance Bill 2006

Finance Bill 2007
Ref;
twenty per cent of the eligible person’s taxable income for the relevant tax year; Provided that an eligible person
(words "a person" substituted by Finance Bill 2006)
Which of the following is the tax treatment for Income from property received as a rent for the year 2007?
1 /4 of the rent is deduct able as repairs allowance
No deduction is allowed
A non adjustable advance is received from a building as income from property. Such rent will be spread in how many
of the following years?
5 years
6years
8 years
10 years
Ref:
Non adjustable advance is spread over ten years.
Under clause (93 A) of the Part 1 of second schedule of Income Tax Ordinance 2001, which of the following business
income is exempted from tax?
Income of a Text-Book Board
University or Educational Institution established not for profit purpose
Recognized Vocational Institute
Income of Recognized Sports Board
Ref:
(93A) Recognized Vocational Institute.
Head Income from property section 15 defines land as:
Constructed building
Block of brick
Vacant plot
One of the following options doesn t come under the definition of Business income section 2 (9):
Trade
Commerce
Profession
Employment
Ref:
Business Defined Section 2(9)
“Business includes any trade, commerce, manufacture, profession, vocation but doesn’t include employment”
Which one of the following section defines Income under the head Income from Business section 18?
Section 2(9)
Section 2(29)
Section 75
Section 2(15)
Which of the following section deals with the deductions Not allowed to income from business?
Section 2 (9)
Section 20
Section 21
Section 22
Ref:
Deductions not Allowed – Sec. 21
Gain on sale of depreciable asset, under section 31 of the Income Tax Ordinance 2001, is charged to tax under which
of the following head of Income?
Income from Capital Gain
Income from Other sources

Ref:
Transfer to Participatory Reserve (Sec 31)
Following Incomes are taxable under the head Income from Business even in cases where no business is carried on by
taxpayer.
ƒRecovery against any deduction/expenses previously allowed (Add back to income).
ƒGain on sale of depreciable asset.
ƒRecovery of bad debt/or written off loan.
ƒTrading liabilities not paid within expiration of three years.
ƒAmount received after discontinuance of business.
Amount received after discontinuance of business, under section 31 of the Income Tax Ordinance 2001, is charged to
tax under which of the following head of Income?
Ref:
Transfer to Participatory Reserve (Sec 31)
taxpayer.
ƒRecovery against any deduction/expenses previously allowed (Add back to income).
ƒGain on sale of depreciable asset.
ƒRecovery of bad debt/or written off loan.
ƒTrading liabilities not paid within expiration of three years.
ƒAmount received after discontinuance of business.
Which of the following is the tax rate that a Resident Company is subjected to pay on its turnover for a tax year, even
in cases where the company sustains loss?
0.25%
0.50%
0.75%
1.00%
Ref:
Resident Company is subjected to minimum tax @ 0.50% of its turnover for a tax year, even in cases where the
company sustains loss.
The amount of minimum tax liability is arrived at as follows:
(A x 0.5%) B
(A x B) 0.5%
(A + B) 0.5%
(A / 0.5%) B
In case of disposal of asset between spouses under an agreement to live apart, what would be the tax treatment of
such disposal of asset?
Charged to tax under the head Income from Business
Charged to tax under the head Income from Capital Gain
Exempt from tax under section 79 of the Income Tax Ordinance 2001
Charged to tax under the head Income from Property
Ref:
Disposals Not Chargeable To Tax Under Sec.79 Non Recognition Rules
No gain or loss shall be taken to arise on the disposal of an asset:
ƒBetween spouses under an agreement to live apart;
Which of the following is NOT required to file the return of Income Tax under section 115?
Every Company
Every Firm
Every person with land 250 sq yards
Salaried individual having salary certificate in lieu
Ref:
Person Not Required to File Tax Return Section 115 grants immunity to salaried person in lieu of filing a return as
outlined below:
ƒSalary certificate from employer sufficient in lieu of return

A person may furnish Revised Return from the date when the original return was furnished up to which of the
following time period?
5 Days
5 Months
5 Years
15 Months
Ref:
Provision of Revised Tax Return:
A person may furnish Revised Return within five years of the date when the original return was furnished.
A person where taxable income for a tax year exceeds the maximum amount not chargeable to tax is required to file a
return of income for the tax year, presently this
amount is:
Rs.100, 000
Rs.300, 000
Rs.250, 000
Rs.500, 000
Ref:
Provided further that where the total income of a taxpayer marginally exceeds the maximum limit of aslab in the
table, the income tax payable shall be the tax payable on the maximum of that slab plus anamount equal to –
(i)20% of the amount by which the total income exceeds the said limit where the total income doesnot exceed Rs.
500,000.
Which of the following is NOT a liquidator under section 141 of the income tax ordinance 2001?
Receiver appointed by a Court
Trustee for a bankrupt
Mortgagee in possession
Tax payer
Ref:
Liquidators (Sec. 141):
Following are referred to as liquidator:
ƒA liquidator of a company
ƒA receiver appointed by a Court or appointed out of court
ƒA trustee for a bankrupt
ƒA mortgagee in possession
Federal Tax Ombudsman has the same powers as _____________ to punish any person for its contempt.
Supreme
High court
City court
Provincial Government
Ref:
The Federal Tax Ombudsman has the same powers as the Supreme Court has to punish any person forits contempt.
The office of Superintendent of Sales Tax, or such other office as the Board may, by notification in the official Gazette,
specify is called;
Income tax office
Registered office
Local Sales Tax Office
Ref:
(15) "Local Sales Tax Office" means the office of Superintendent of Sales Tax, or such other office as he Board may, by
notification in the official Gazette, specify;
Capital Value Tax was levied on the capital value of assets with effect from;
1st July, 1989
1st June 1990
1st July 2000
1st July 1999
Ref:
Capital Value Tax was levied with effect from 1st July, 1989 on the capital value of assets.

A directorship or any other office involved in the management of a company under section 2(22) of Income Tax
Ordinance, 2001 is termed as:
Employment
Employer
Employee
Business premises
Ref:
2(22) “employment includes:
• a directorship or any other office involved in the management of a company;
• a position entitling the holder to a fixed or ascertainable remuneration; or
• the holding or acting in any public office
Mr. X resident of Pakistan earned income from Property situated in London Rs. 50,000 but received in India. Which
one of the following option is right for this particular scenario?
Mr. X being resident of Pakistan Rs. 50,000 will be added in Gross total income
Mr. X being resident of Pakistan Rs. 50,000 will be subtracted in Gross total income
Mr. X being resident of Pakistan Rs. 50,000 will be claimed as admissible deduction
Mr. X being resident of Pakistan Rs. 50,000 will be exempted
Mr. X non-resident of Pakistan earned income from property situated in Dubai Rs. 70,000 but received in Pakistan.
Which one of the following option is right for this particlar scenario?
Mr. X being non-resident of Pakistan Rs. 70,000 will be added in Gross total income
Mr. X being non-resident of Pakistan Rs. 70,000 will be subtracted in Gross total income
Mr. X being non-resident of Pakistan Rs. 70,000 will be claimed as admissible deduction
Mr. X being non-resident of Pakistan Rs. 70,000 will be exempted
Which of the following is the rate of tax for salaried Individuals for tax year 2009, where the taxable income exceeds
Rs. 250,000 but does not exceed Rs. 350,000?
Nil
0.250%
0.50%
0.75%
Ref:
Page no 45 of handouts
0.25%
1.50%
2.50%
3.50%
Ref:
Page no 45 of handouts
Miss Sonia s total taxable income for the year 2009 is Rs. 240,000. Which of the following is the tax liability of Miss
Sonia?
Nil
Rs. 500
Rs. 1,000
Rs. 1,500
Ref:
Where the taxable income exceeds Rs. 180,000 but does not exceed Rs 250,000, the tax rate is 0.50%
So the tax amount will be
240000 @ 0.50% = 1200
There is not any correct option
Mr. As total taxable income for the year 2009 is Rs. 600,000. Which of the following is the tax liability of Mr. A?
Rs. 15,000
Rs. 21,000
Rs. 27,000
Rs. 36,000
Ref:
Where the taxable income exceeds Rs. 550,000 but does not exceed Rs. 650,000, the tax rate is 4.50% So
600,000 @ 4.50% = 27000
Which of the following is the Tax Treatment of utilities for the year 2009?
Wholly taxable
Wholly exempted
Exempt up to 10% of MTS
Ref:
Utilities were exempt up to 10% of MTS or Basic salary till 30th June, 2006, vide clause 38 of part 1 of Second
Schedule. This clause has been omitted by Finance Act, 2006. Hence no exemption is available fortax year 2009.
A firm ABC maintaining its account in cash basis, at June 27, 2008 it incurred expenses for Rs. 10,000 but actual
payments made at 01 August 2008. It would be charge to tax into the tax year:
2006
2007
2008
2009
Question No: 43 ( Marks: 3 )
What is the main purpose of Gratuity?
Mr. Farooq s salary is Rs.22, 000 per month. He received commission during the year amounting to Rs.33, 000. He is
provided a jeep by his employer for personal as well as official use. The employer took this jeep from a leasing
company at an annual lease of Rs.80, 000. The fair market value of the jeep at commencement of lease was Rs.800,
000.Calculate the taxable income of Mr.Farooq.
Briefly explain the unexplained income or assets under section 111 of Income Tax Ordinance 2001.
Under what conditions a commissioner of Income Tax may ask for the filing of returns by notice?
Mr. Ghaus is employed in a company after his retirement from army. Details of his income for the year ended 30th
June 2009 are as under;
Basic salary from company Rs.20, 000 per month
Entertainment allowance Rs. 1,000 per month
Pension received from army Rs. 48,000 per annum
Calculate the total taxable income of Mr.Ghaus.
Mr. Irfan is 62 years of age. At present he is working as General Manager of a private organization. His particulars for
the year ended 30th June 2009 are as follows. Rs
Basic salary (40,000-1,000-55,000) 50,000p.m.
Traveling allowance 112,000
Conveyance allowance 48,000
Pension from Government 12,000 p.m.
Bonus 50,000
Zakat paid under zakat ordinance 20,000
Medical expenses 27,000
Further information provided:
1. Mr. Irfan has been provided a car for personal purposes. The cost of the car is Rs. 780,000.
2. He has been provided a rent - free accommodation. He was entitled to a house allowance of Rs. 8,000 per month.
3. The medical expenditures incurred during the year are verifiable.
4. Tax rate prevail 9%.
Compute the taxable income and tax payable on it.
From the following particulars, calculate the tax payable by Mr.Gauhar employed in a private limited company for the
year ended 30th June 2009 @ 0.5 %. Mr Gauhar is 62 years of age;
Salary (in scale 14,000-200-16,000) Rs.15, 000 p.m.
Cost of living allowance 20,000 p.a.
Special additional allowance 6,000 p.a.
Medical allowance 21,200 p.a.
Books of religious nature purchased 2,000
Contribution to approved charitable institute Rs. 19,200
Spring 2009
FIN623- Taxation Management (Session - 1)
__________ is a type of tax where the tax rate increases as the income to which the rate is applied increases.
Proportional tax
Progressive tax
Regressive tax
Corporate tax
If the accounting year of Mr. Aslam, a rice exporter is started from 01 January 2005 and ending on 31st December
2005. What will be its tax year?
Tax year 2003
Tax year 2004
Tax year 2005
Tax year 2006
In case of lump sum receipt of income like Golden hand shake the tax payer pays tax in which of the following way?
Current tax rate
Reference: Golden handshake amount can be taxed @average rate of tax of last 3 years
Which of the following methods of accounting is compulsory to adopt for Firm?
Accrual Basis
Cash Basis
Both Accrual and Cash Basis
Free to choose any kind of base
Reference: Adoption rule of accounting methods are as under:
For Companies –Accrual basis mandatory.
For Others --- optional, cash or Accrual Basis
Suppose a Profit acquired by a cultivator from the sale of standing crops or the produce after harvesting. The profit of
the cultivator will be treated in which of the following way?
Agriculture Income
Capital Gain
Ref: Profit on sale of standing crops or the produce after harvest by a cultivating owner or tenant of land will be
treated as agricultural income. Whereas:
Profit accruing from the purchase of standing crops and resale of it after harvest by a merchant having no interest in
land except a mere license to enter upon the land and gather upon the produce, land is not direct, immediate or
effective source of income will be treated as non agriculture income.
If person supplying water to the land for the purpose of growing rice in the field and he charged money from the
cultivator against the water supplied. What will be the tax treatment of such income?
Exempt as Agriculture Income
Allowed Reduction in tax rate
Allowed reduction in tax liability
Taxable as Non-Agriculture Income
Ref: Income from sale of agricultural produce received by way of price for water supplied to land will be treated as
non agricultural income.
Mr. Imran is an employee of Provincial Government of Punjab posted in UK for two years? What will be the
residential status of Mr. Imran?
Resident Individual
Resident HUF
Resident AOP
Ref: According to section82 of income tax ordinance, resident individual is an employee or official of the Federal
Government or a Provincial Government posted abroad in the tax year?
For a non-resident AOP which of the following condition must be satisfied?
Control and management of affairs of AOP is situated partly in Pakistan
Control and management of affairs of AOP is situated wholly in Pakistan
Control and management of affairs of AOP is situated wholly or partly in
Pakistan
None of the given options.
Ref: Control and management of affairs of resident AOP is situated wholly or partly in Pakistan.
What is the tax treatment of the reimbursement of expenditure made by the employer?
Wholly Taxable
Wholly exempt
Partly Taxable
Not mentioned in Income Tax Ordinance 2001
What is the tax treatment of the leave encashment of the armed forces of Pakistan on retirement made by the
employer?
Wholly Taxable
Wholly exempt
Partly Taxable
Not mention in Income Tax Ordinance 2001
Ref:
Leave Salary: This is taxable whenever received or right to receive is exercised by the employee. Leave encashment
on retirement falls in this category. The only exemption available is for the members of the Armed Forces of Pakistan,
employees of the Federal Government and Provincial Governments
As part of remuneration package, a company provides for reimbursement of telephone costs on actual basis to its
employees in case the facility is used for official purposes only, what are the tax consequences of this policy?
Treated as taxable
No tax consequences
Partially taxable
Not discussed in Income Tax Ordinance 2001
Minimum time scale
Minimum transfer Salary
Maximum time scale
Maximum transfer Salary
Condition for the approval of gratuity fund is based on which of the following?
Trust is irrevocable
Trust is revocable
Trust is established by Government
Trust is approved by Officer of Income Tax
Ref: Condition for Approval
• Fund established under an irrevocable trust and purposes of gratuity fulfilled.
Clause (10) and (11) of Part 1 of second schedule related to Pension are omitted by which of the following?
Finance Bill 2006
Finance Bill 2007
Ref;twenty per cent of the eligible person’s taxable income for the relevant tax year; Provided that an eligible person
(words "a person" substituted by Finance Bill 2006).
Which of the following is the tax treatment for Income from property received as a rent for the year 2007?
No deduction is allowed
A non adjustable advance is received from a building as income from property. Such rent will be spread in how many
of the following years?
5 years
6years
8 years
10 years
Reference: Treatment of Non-Adjustable Amounts Received in Relation to Buildings
These amounts shall be treated as rent and chargeable to tax under the head “income from property”. These amounts
are spread over a period of 10 years, It is adjustable as Rent.
Under clause (93 A) of the Part 1 of second schedule of Income Tax Ordinance 2001, which of the following business
income is exempted from tax?
Income of a Text-Book Board
University or Educational Institution established not for profit purpose
Recognized Vocational Institute
Income of Recognized Sports Board
Ref: Exemptions on Business income Under Part 1 of second schedule
Clause Exempt Income
(91) Income of a Text-Book Board.
(92) University or Educational Institution established not for profit purpose.
(93) Recognized Computer Training Institution.
(93A) Recognized Vocational Institute.
(98) Income of Recognized Sports Board.
(100) Income of Modaraba Companies.
Head Income from property section 15 defines land as:
Constructed building
Block of brick
Vacant plot
One of the following options doesn’t come under the definition of Business income section 2 (9):
Trade
Commerce
Profession
Employment
Ref: Business Defined Section 2(9)
Which one of the following section defines Income under the head Income from
Business section 18?
Section 2(9)
Section 2(29)
Section 75
Section 2(15)
Ref: Business Defined Section 2(9)
Which of the following section deals with the deductions Not allowed to income from business?
Section 2 (9)
Section 20
Section 21
Section 22
Ref: Deductions not Allowed – Sec. 21
Gain on sale of depreciable asset, under section 31 of the Income Tax Ordinance 2001, is charged to tax under which
of the following head of Income?
Ref: Transfer to Participatory Reserve (Sec 31)
taxpayer.
• Recovery against any deduction/expenses previously allowed (Add back to income).
• Gain on sale of depreciable asset.
• Recovery of bad debt/or written off loan.
• Trading liabilities not paid within expiration of three years.
• Amount received after discontinuance of business.

Amount received after discontinuance of business, under section 31 of the Income Tax Ordinance 2001, is charged to
tax under which of the following head of Income?
Reference is same as for previous question.
Which of the following is the tax rate that a Resident Company is subjected to pay on its turnover for a tax year, even
in cases where the company sustains loss?
0.25%
0.50%
0.75%
1.00%
Ref: According to section 113:
Resident Company is subjected to minimum tax @ 0.50% of its turnover for a tax year, even in cases where the
company sustains loss.
The amount of minimum tax liability is arrived at as follows:
(A x 0.5%) B
(A x B) 0.5%
(A + B) 0.5%
(A / 0.5%) B
In case of disposal of asset between spouses under an agreement to live apart, what would be the tax treatment of
such disposal of asset?
Charged to tax under the head Income from Business
Charged to tax under the head Income from Capital Gain
Exempt from tax under section 79 of the Income Tax Ordinance 2001
Charged to tax under the head Income from Property
Ref: No gain or loss shall be taken to arise on the disposal of an asset
Between spouses under an agreement to live apart.
Which of the following is NOT required to file the return of Income Tax under section 115?
Every Company
Every Firm
Every person with land 250 sq yards
Salaried individual having salary certificate in lieu
Ref: Section 115 grants immunity to salaried person in lieu of filing a return as outlined below:
• Salary certificate from employer sufficient in lieu of return

A person may furnish Revised Return from the date when the original return was
furnished up to which of the following time period?
5 Days
5 Months
5 Years
15 Months
Ref: In case of any omission by a tax payer, a revised return can be filed within 5 years of the date that the original
return was furnished.
A person where taxable income for a tax year exceeds the maximum amount not
chargeable to tax is required to file a return of income for the tax year, presently this amount is:
Rs.100, 000
Rs.300, 000
Rs.250, 000
Rs.500, 000
Which of the following is NOT a liquidator under section 141 of the income tax ordinance 2001?
Receiver appointed by a Court
Trustee for a bankrupt
Mortgagee in possession
Tax payer
Ref: Liquidators (Sec. 141):
Following are referred to as liquidator:
A liquidator of a company
A receiver appointed by a Court or appointed out of court
A trustee for a bankrupt
A mortgagee in possession
Federal Tax Ombudsman has the same powers as _____________ to punish any person or is contempt..
Supreme court
High court
City court
Provincial Government
Ref: The Federal Tax Ombudsman has the same powers as the Supreme Court has to punish any person for its
contempt.(Page no.111)
specify is called;
Income tax office
Registered office
Local Sales Tax Office
Ref: “Local Sales Tax Office" means the office of Superintendent of Sales Tax, or such other office as the Board may,
by notification in the official Gazette, specify;
Capital Value Tax was levied on the capital value of assets with effect from;
1st July, 1989
1st June 1990
1st July 2000
1st July 1999
Ref: Capital Value Tax was levied with effect from 1st July, 1989 on the capital value of assets. This is payable by
every individual, association of persons, firm or a company which acquires by purchase gift, exchange,
relinquishment, surrender if rights by the owners (whether effected orally or by deed or obtained through court
decree) except by inheritance an asset or a right to the use thereof for more than twenty years. An asset or a right to
the use thereof for more than twenty years.
A directorship or any other office involved in the management of a company
under section 2(22) of Income Tax Ordinance, 2001 is termed as:
Employment
Employer
Employee
Business premises
Ref: 2(22) “employment includes:
• a directorship or any other office involved in the management of a company;
• a position entitling the holder to a fixed or ascertainable remuneration; or
• the holding or acting in any public office;
Mr. X resident of Pakistan earned income from Property situated in London Rs.50,000 but received in India. Which
one of the following option is right for this particular scenario?
Mr. X being resident of Pakistan Rs. 50,000 will be added in Gross total income
Mr. X being resident of Pakistan Rs. 50,000 will be subtracted in Gross total income
Mr. X being resident of Pakistan Rs. 50,000 will be claimed as admissible deduction
Mr. X being resident of Pakistan Rs. 50,000 will be exempted
Mr. X non-resident of Pakistan earned income from property situated in Dubai Rs. 70,000 but received in Pakistan.
Which one of the following option is right for this particlar scenario?
Mr. X being non-resident of Pakistan Rs. 70,000 will be added in Gross total income
Mr. X being non-resident of Pakistan Rs. 70,000 will be subtracted in Gross total income
Mr. X being non-resident of Pakistan Rs. 70,000 will be claimed as admissible deduction
Nil
0.250%
0.50%
0.75%
0.25%
1.50%
2.50%
3.50%
Miss Sonia’s total taxable income for the year 2009 is Rs. 240,000. Which of the following is the tax liability of Miss
Sonia?
Nil
Rs. 500
Rs. 1,000
Rs. 1,500
Ref: Provided that where income of a woman taxpayer is covered by this clause, no tax shall be charged if the taxable
income does not exceed Rs. 240,000:
Mr. A’s total taxable income for the year 2009 is Rs. 600,000. Which of the following is the tax liability of Mr. A?
Rs. 15,000
Rs. 21,000
Rs. 27,000
Rs. 36,000
Ref: Where the taxable income exceeds Rs. 650,000 but does not exceed Rs.750,000, 6.00% rate will be applied.
(600000*6/100=36000).
Which of the following is the Tax Treatment of utilities for the year 2009?
Wholly taxable
Wholly exempted
Ref: Utilities were exempt up to 10% of MTS or Basic salary till 30th June, 2006, vide clause 38 of part 1 of Second
Schedule. This clause has been omitted by Finance Act, 2006. Hence no exemption is available for tax year 2009.
A firm ABC maintaining its account in cash basis, at June 27, 2008 it incurred expenses for Rs. 10,000 but actual
payments made at 01 August 2008. It would be charge to tax into the tax year:
2006
2007
2008
2009
Mr. Farooq s salary is Rs.22, 000 per month. He received commission during the year amounting to Rs.33, 000. He is
provided a jeep by his employer for personal as well as official use. The employer took this jeep from a leasing
company at an annual lease of Rs.80, 000. The fair market value of the jeep at commencement of lease was Rs.800,
000.Calculate the taxable income of Mr.Farooq.
Briefly explain the unexplained income or assets under section 111 of Income Tax Ordinance 2001.
Under what conditions a commissioner of Income Tax may ask for the filing of returns by notice?
Mr. Ghaus is employed in a company after his retirement from army. Details of his income for the year ended 30th
June 2009 are as under;
Basic salary from company Rs.20, 000 per month
Entertainment allowance Rs. 1,000 per month
Pension received from army Rs. 48,000 per annum
Calculate the total taxable income of Mr.Ghaus.
Mr. Irfan is 62 years of age. At present he is working as General Manager of a private organization. His particulars for
the year ended 30th June 2009 are as follows. Rs
Basic salary (40,000-1,000-55,000) 50,000p.m.
Traveling allowance 112,000
Conveyance allowance 48,000
Pension from Government 12,000 p.m.
Bonus 50,000
Medical expenses 27,000
Further information provided:
1. Mr. Irfan has been provided a car for personal purposes. The cost of the car is Rs. 780,000.
2. He has been provided a rent - free accommodation. He was entitled to a house allowance of Rs. 8,000 per month.
3. The medical expenditures incurred during the year are verifiable.
4. Tax rate prevail 9%.
Compute the taxable income and tax payable on it.
From the following particulars, calculate the tax payable by Mr.Gauhar employed in a private limited company for the
year ended 30th June 2009 @ 0.5 %. Mr Gauhar is 62 years of age;
Salary (in scale 14,000-200-16,000) Rs.15, 000 p.m.
Cost of living allowance 20,000 p.a.
Special additional allowance 6,000 p.a.
Medical allowance 21,200 p.a.
Books of religious nature purchased 2,000
Contribution to approved charitable institute Rs. 19,200
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MIDTERM EXAMINATION
Spring 2009
Taxes are important instrument of which one of the following policy?
Monetary policy
Fiscal policy
Trade Policy
Economic Policy
Removal of deficit in Balance of Payments is one of the objectives of which of the
following policy?
Monetary policy
Fiscal policy
Trade Policy
Economic Policy
Ref:
Objectives of Fiscal Policy
Removal of deficit in Balance of Payments
In the canons of taxation, which one of the following statements best describe the
benefits principle?
Persons deriving more income leads to enjoy less benefits from the state,
should be taxed at the lower rates.
Persons deriving more income leads to enjoy less benefits from the state,
should be taxed at the higher rates.
Persons deriving less income leads to enjoy more benefits from the state,
should be taxed at the lower rates.
All persons deriving more or less income should be taxed at the same rates.
Ref:
Benefit principle
This principle suggests that taxes should be levied according to the benefits derived by the person from the state.
Since more benefits are derived by lower income groups, hence according to this principle, those who derive more
income but enjoy less benefits from the state should be taxed at the lower rates and those persons who derives less
income but more benefits from State should be taxed at high rates.
Taxation management is a strategy where by a person manages its business in
such a way so as to maximize the utilization of which of the following?
Tax holidays
Exemption, Rebates & Concession
Tax credits
All of the given options
Ref:
Taxation Management—Explained
Taxation management is a strategy where by a person manages its business and other transactions/activities in such a
way so as to make maximum use of tax holidays, exemption, concession, rebates, tax credits, deductible allowances
available under law and as a result is able to derive the benefit of minimizing his tax liability.
Which of the following was the First law on Income Tax promulgated in
Pakistan?
1st July, 1979
1st July, 1969
1st July, 1949
1st July, 2002
Ref:
Income Tax Ordinance, 1979
First law on Income Tax was promulgated in Pakistan from 1st
July, 1979.
How many Sections are included in the Income Tax Ordinance 2001?
340 sections
440 sections
140 sections
240 sections
Ref:
Basic Features of Income Tax Ordinance 2001
Scheme of the Ordinance is given below:
¾ There are thirteen chapters
¾Chapters are divided into:
ƒParts &
ƒDivisions
¾There are 240 Sections
Superior judiciary includes which of the following authorities?
City Court
Supreme Court
High Court
Both supreme and High court
The _____ year is a period of twelve months arbitrarily chosen for tax purposes.
Economic
Fiscal
Economy
Monetary
Which of the following is the Special Accounting Year of Insurance Companies?
1st January to 31st December
1st July to 30th June
1st October to 30th September
1st September to 31st August
Ref: All persons exporting rice and carrying insurance business 1st January to 31st December.
Which of the following is the Special Accounting year of the persons carrying cotton
ginning, rice husking and oil milling?
Ref: All persons carrying on business of cotton ginning, rice husking and oil milling1st September to 31st August.
Which one of the following is the example of tax payer?
Salaried Person
LESCO
WAPDA
for more contents visit

http://groups.google.com/group/vuZs
Which of the following is the legal status of the Virtual University under the
provisions of section 80 of the ordinance?
Individual
Company
Banking Company
Hindu Undivided Family
Ref:
Page no 16
For the purpose of Taxation the total Income includes which of the following?
Income as per Section 11
Income from Capital gain
Only business income
Only Salary income
Ref: HEADS OF INCOME (Section 11)
Following are the heads of income, ascertained in section 11
• Salary (Section 12)
• Income from Property (Section 15)
• Income from Business (Section 18)
• Capital Gains (Section 37)
• • Income from other Sources (Section 39)
Which of the following section deals with the change of accounting method
adopted by an entity?
Section 32(1)
Section 32(2)
Section 32(3)
Section 32(4)
Ref: Method of accounting (Section 32)
ƒ Cash Basis or
ƒ Accrual Basis
• For Companies ‘Accrual Basis’ method of accounting is compulsory [Section 32(2)]
• Change of Method of Accounting can be made under [Section 32(4)]
What will be the tax treatment of any income chargeable under the head Salary
earned by an individual outside Pakistan during that year?
Wholly Taxable
Wholly Exempt
Partly Exempt
Not mention in Ordinance
Ref:
2.Where a citizen of Pakistan leaves Pakistan during a tax year and remains abroad during that tax year, any income
chargeable under the head :Salary” earned by him outside Pakistan during that year shall be exempt from tax under
the Ordinance
Date for the exemption limit for Foreign Currency Account (FCA) under Clause
80 of the Part I of Second Schedule is available to which of the following?
16 December 1999
16 November 1999
16 July 2001
1st
July 2002
Ref:
Foreign Currency Accounts [Clause (80), Part I of the Second Schedule]
“Any income derived from a private foreign currency account held with an authorized bank in Pakistan, [or
certificates of investment issued by Investment Banks,] in accordance with the Foreign Currency Accounts Scheme
introduced by the State Bank of Pakistan, by a resident individual who is a citizen of Pakistan. Provided that the
exemption under this clause shall not be available in respect of any incremental deposits made in the said accounts on
the after the 16th day of December, 1999, or in respect of any accounts opened under the said scheme on or after
the said date.”
Senior citizen-age 60 years & above where taxable income not exceeding
________ tax liability reduced by 50% under Part 3 of second schedule.
Rs. 500,000
Rs. 200,000
Rs. 300,000
Rs. 400,000
Ref: Reduction in Tax Liability under Second Schedule Part 3
• Any amount received as flying allowance by pilots etc. and junior commissioned officers or other ranks shall be
taxed @2.5% as separate block.
• Senior citizen-age 60 years &above where taxable income not exceeding Rs. 400,000/- tax liability reduced by 50%.
M/s ABC & Co. has been incorporated under Pakistan Companies Ordinance 1984.
However it’s most of the branched and control and management of affairs wholly
situated out of Pakistan? What will be the residential status of M/s ABC & Co.?
Resident Company
Non-Resident Company
Resident Individual
Resident AOP
Salary income received by resident person from Federal Government of Pakistan
in UK belongs to which of the following?
Pakistani source of Income
Foreign source of income
Both Pakistan and foreign source of income
None of the given option
Rental income shall be Pakistan-source income if it is derived from:
The lease of immovable Property in Pakistan
The lease of immovable Property outside Pakistan
The lease of immovable Property both in and out of Pakistan
Ref:
9) Rental income shall be Pakistan-source income if it is derived from the lease of immovable property in Pakistan
whether improved or not, or from any other interest in or over immovable property, including a right to explore for,
or exploit, natural resources in Pakistan.
Any gain arising on the disposal of shares in a non-resident company belongs to
which of the following?
Pakistan- source income
Ref:
13)Any gain arising on the disposal of shares in a resident company shall be Pakistan- source income.
Which of the following come under the ambit of Royalty under section 2 (54)?
Right to use any patent
Copy right of a literary
Right to use any industrial or scientific equipment
Ref:
Royalty Defined Sec. 2 (54)
Royalty means any amount paid or payable however described or computed, whether periodical or lump sum as a
consideration for:
a)The use of, or right to use any patent, invention, design or model, secret formula or process, trade mark r other like
property or right;
b) The use of, or right to use any copy right of a literary, artistic or scientific work, including films or video
Tapes for use in connection with television or tapes in connection with radio broadcasting, but shall not include
consideration for the sale, distribution or exhibition of cinematograph films.
c)The receipt of, or right to receive, any visual images or sounds or both, transmitted by satellite, cable, optic fiber or
similar technology in connection with television, radio or internet broadcasting;
What is the tax treatment of losses from the foreign source under section 104 of
the ordinance?
Wholly taxable
Partly Taxable
Deductible expenditure
Ref:
Foreign losses Sec.104: Deductible expenditures incurred by a person in deriving foreign-source income chargeable
to tax under a head of income shall be deductible only against that income.
Which of the following section of Income Tax Ordinance 2001 deals with Income
from Salary and its treatment?
Section 11
Section 12
Section 13
Section 14
Ref:
MODULE 4
HEADS OF INCOME (Section 11)
Following are the heads of income, ascertained in section 11
• Salary (Section 12)
• Income from Property (Section 15)
• Income from Business (Section 18)
• Capital Gains (Section 37)
• • Income from other Sources (Section 39)
The definition of Employment under Sec. 2(22) of the ordinance is categorized in:
Inclusive Definition
Exclusive Definition
Both Inclusive and Exclusive
Ref:
Inclusive Definition:
Examples of inclusive definitions are given below:
It includes dictionary meanings as well as meanings conveyed by definition.
Salary by members of AOP is not treated as Salary but treated as appropriation of
profit and charged under the head:
Income from Salary
Income from Other Sources
Ref:
Salary by members of AOP is not treated as Salary but treated as appropriation of profit and charged under the head
“Income from Business”
Tax year for the salaried individuals is called as:
Special Tax Year
Normal Tax Year
Fiscal Year
Financial Year
Ref:
Tax year of a salaried Person shall be Normal Tax year
Which of the following is the Tax year available for salaried individual?
Ref:
Tax on salary income for Tax year 2009 (1st July 2008 to 30th July 2009) shall be computed according to
amendments as made by Finance Act, 2008.
Mr. A non-resident of Pakistan received interest on Canadian Bonds Rs. 150,000
(entire amount received in Pakistan). What is the treatment of this amount for
calculating his gross total income?
Rs. 150,000 added in his total income
Rs. 150,000 subtracted from his total income
Exempt from tax
Mr. X employed in Pakistan earned pension from Pakistan Government but
received in London Rs. 100,000. Which one of the following option is right for
this particular scenario?
Mr. X being resident of Pakistan Rs. 100,000 will be added in Gross total
income
Mr. X being resident of Pakistan Rs. 100,000 will be subtracted in Gross
total income
Mr. X being non-resident of Pakistan Rs. 100,000 will be added in Gross
total income
Define Income that is charged to tax under section 2(9).
Answer:
Business Defined Section 2(9)
Following incomes (except exempt income) shall be charged to tax under the head ‘Income from Business’.
a)Profits & Gains from any business in a tax year.
b)Income derived from any trade, profession, sale of goods or provision of any services.
c)Income from hire or lease of tangible movable property.
d)FMV of Perquisites derived by a person by virtue of business relationships.
e)Management Fee derived by a management company.
Income from Business also includes:
• Any profit on debt derived by a person. (it is only applicable to such person, whose is business is to
derive such income. e.g.; a banking company)
• Any amount received by schedule bank from mutual fund, as share of profit.
• Profit earned on debts in course business shall be chargeable to ‘income from business’.
• Income on leasing by lessor, being banks, leasing companies etc.
Income derived from any trade, profession, sale of goods or provision of any services.
• Income from hire or lease of tangible movable property
• FMV of Perquisites derived by a person by virtue of business relationships.
• Management Fee derived by a management company
Determine the legal status of the following persons under section 80 of the
ordinance.
1. Virtual University of Pakistan (company)
2. A joint family of Mr. Arun (a Hindu), Comprising Mr. Hamel, His sons
Mr. Kumar & Mr. Deepak (Hindu undivided family)
3 . Government of Punjab, Pakistan (company)
4. Edhi Welfare Trust (company)
5. Federal Government (person)
6 . Mr. Suleman & his wife Joint Owners in a House (Association of persons)
7. Alpha Cooperative Housing Society (company)
8. Mr. Ali & Babar Joint Owners in Building (Association of persons)
9. Mr. Imran Serving as a Manager in a Textiles Company (Individual)
10. Habib Modaraba (company)
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MIDTERM EXAMINATION
Spring 2009
Which of the following is the general definition of tax?
Compulsory contribution of wealth by persons
Optional contribution of wealth by persons
Compulsory contribution of wealth by state
Optional contribution of wealth by state
Ref:
General Definition of Tax:
General compulsory contributions of wealth levied upon persons by the state, to meet the expenses incurred in
providing common benefits upon the residents.
Which of the following is the main objective of Fiscal Policy?
Economic Development
Price stability
Ref:
Objectives of Fiscal Policy
Raising level of employment (Achieving full employment level
Influencing consumption patterns
Price stability
Redistribution of income
Government Expenditure is one of the instruments of which of the following
policy?
Monetary policy
Fiscal policy
Trade Policy
Economic Policy
Ref:
Instruments of Fiscal Policy
Government Expenditures
Taxes
Deficit Financing
Subsidies
Transfer Payments—like Unemployment Allowances etc.
Taxation management is a strategy where by a person manages its business in
such a way so as to maximize the utilization of which of the following?
Tax holidays
Exemption, Rebates & Concession
Tax credits
Which of the following was the First law on Income Tax promulgated in
Pakistan?
1st July, 1979
1st July, 1969
1st July, 1949
1st July, 2002
Ref:
First law on Income Tax was promulgated in Pakistan from 1st
July, 1979.
Superior judiciary includes which of the following authorities?
City Court
Supreme Court
High Court
Both supreme and High court
Section 2(15) of Income Tax Ordinance 2001 defined:
“debt” means any amount owing, including accounts payable and the amounts
owing under promissory notes, bills of exchange, debentures, securities, bonds or
other financial instruments;
In which criteria the above definition falls?
Exclusive definition
Inclusive definition
Both Exclusive and Inclusive definitions
Statutory definition
Ref:
Exclusive or Exhaustive Definition:
• It excludes ordinary dictionary meanings of the word. Exclusive definitions start with the expression‘mean’ or
‘means’.
Section 2(6) of Income Tax Ordinance 2001 defined:
“association of persons” means an association of persons as defined in section 80.
Both Exclusive and Inclusive definitions
Ref:
Exclusive or Exhaustive Definition:
• It excludes ordinary dictionary meanings of the word. Exclusive definitions start with the expression‘mean’ or
‘means’.
Under which of the following conditions a tax payer can adopt a special tax year?
Whenever he decides so
After seeking approval from Tax Office
After seeking approval from Commissioner of income tax
After seeking approval from High Court
Ref:
•A tax payer can adopt a special Tax year after seeking approval from Commissioner of Income Tax (CIT)
Which one of the following is the example of tax payer?
Salaried Person
LESCO
WAPDA
Which of the following is the legal status of the Virtual University under the
provisions of section 80 of the ordinance?
Individual
Company
Banking Company
Ref:
Page no 16
In case of lump sum receipt of income like Golden hand shake the tax payer pays
tax in which of the following way?
Current tax rate
Ref:Tax payer can opt to seek approval from CIT to charge lump sum payments received in a tax year at average tax
rate of last three years
Certain incomes those are excluded from tax are called as:
Perquisites
Exemptions
Allowances
Deductions
Which of the following incomes are treated as agriculture income?
Spontaneous forests
Agro based industry
Interest received by a farmer on lending
Income from land in Pakistan used for agriculture

What is the tax treatment of the salary of an employee of foreign government but
citizen of Pakistan?
Exempt form tax
Wholly Taxable
Partly Taxable
No Tax treatment given in IT Ordinance 2001
Ref:
Section 43 Foreign Government Officials
Salary of an employee of foreign government exempt provided:
a.Employee citizen of foreign country and not a citizen of Pakistan.
b.Services performed are similar to services performed by employees of the Federal Government in foreign countries
and
c.Foreign government also grants similar exemptions to employees of Federal Government.
Income of Federal Government exempt from tax under which of the following
section of IT Ordinance 2001?
Section 41
Section 43
Section 47
Section 49
Ref:
Section 49 Federal & Provincial Govt. and Local Authority Income
• Income of Federal Government exempt from tax
An Individual will be termed as Short Term Resident under section 50 of the IT
Ordinance 2001 on which of the following condition?
His period of stay in Pakistan equal to 183 days
The employee of Foreign Government
The citizen of Pakistan
His period of stay in Pakistan not exceeding 3 years
Ref:
Section 50 Foreign-Source Income of Short-Term Resident Individuals
1.Subject to sub-section-2, the foreign-source income of an individual shall be exempt:
a.Who is a resident individual solely by reason of the individual’s employment; and
b.Who is present in Pakistan for a period or periods not exceeding three years,
M/s ABC & Co. has been incorporated under Pakistan Companies Ordinance 1984.
However it’s most of the branched and control and management of affairs wholly
situated out of Pakistan? What will be the residential status of M/s ABC & Co.?
Resident Company
Non-Resident Company
Resident Individual
Resident AOP
Mr. Imran is an employee of Provincial Government of Punjab posted in UK for two
years? What will be the residential status of Mr. Imran?
Resident Individual
Resident HUF
Resident AOP
Which of the following days shall be counted as whole day for the computation of
residential status of an individual?
A public holiday
A day of sick leave
Any strike day
Ref:
Following days shall be counted as whole day:
• A Public Holiday
• A day of leave including sick leave
• A day that individual’s activity is stopped because of strike etc
• A holiday spent in Pakistan
Which part of income is charged to tax of resident person under the income tax
ordinance 2001?
Pakistani source of income
Which of the following does Not come under the ambit of permanent
establishment (PE)?
Branch office
Factory or workshop
Premises for soliciting orders
Liaison or relationship office
Ref:
a)A place of management, branch office, factory or workshop, premises for soliciting orders, warehouse, permanent
sales exhibitions or sales outlet, other than a liaison office except where the office engages in the negotiation of
contracts (other than contracts of purchase);
Mr. Ali resident of Pakistan received salary form UK? What will be the tax
treatment of his salary in Pakistan?
Wholly taxable
Partly Taxable
Wholly exempt
Wholly exempt only if resident paid foreign tax on his salary
The salary received from the UK Government by Mr. Amir resident of Pakistan.
Which section of the income tax ordinance explains his tax treatment of such
salary?
Section 110
Section 101
Section 102
Section 50
Ref:
Foreign Source Salary of Resident Individuals Sec. 102
(1) Any foreign-source salary received by a resident individual shall be exempt from tax if the individual
has paid foreign income tax in respect of the salary.

Which of the following section of Income Tax Ordinance 2001 deals with Income
from Salary and its treatment?
Section 11
Section 12
Section 13
Section 14

Mr. A resident of Pakistan received interest on Australian Bonds Rs. 100,000
(half amount received in Pakistan). What is the treatment of this amount for
calculating his gross total income?
Rs. 100,000 subtracted from his total income
Exempt from tax
Mr. X non-resident of Pakistan earned income from property situated in Dubai
Rs. 70,000 but received in Pakistan. Which one of the following option is right
for this particlar scenario?
total income
Mr. X being non-resident of Pakistan Rs. 70,000 will be subtracted in
Gross total income
Mr. X being non-resident of Pakistan Rs. 70,000 will be claimed as
admissible deduction
Mr. X employed in Pakistan received share of profit Rs. 60,000 in India from a
business situated in Dubai but controlled through PE in Pakistan. Which of the
following is right for the above scenario?
income \
Mr. X being resident of Pakistan Rs. 60,000 will be subtracted in Gross
total income
total income
Mr. X being non-resident of Pakistan Rs. 60,000 will be subtracted in
Gross total income
Mr. X employed in Pakistan remittance from USA received Rs. 10,000 in
Pakistan from past profits. Which of the following is right for the above scenario?
income
Mr. X being resident of Pakistan Rs. 10,000 will be Subtracted in Gross
total income
total income
Remittance is not income hence it is not included
Mr. X resident of Pakistan remittance from UK received Rs. 20,000 in Pakistan
from past profits. Which of the following is right for the above scenario?
income
Mr. X being resident of Pakistan Rs. 20,000 will be Subtracted in Gross
total income
total income
Why Government levy tax on Person? What are the important elements that take
into consideration while levying tax?
Answer:
™ Taxes Vs Fees:
Taxes are compulsory levy and it is the legal obligation of the person to pay the amount of tax which is required to pay
under the law, where as payment of fee is the discretion of any person and when a fee is paid, the person becomes an
entitled to claim counter benefits.
™ Taxes are important instrument of Fiscal Policy.
Determine Gross total income of Mr. Imran in the light of following particulars
information pertaining to tax year 2008.
a. Dividends received in UK on 20th Aug 2008 from a Pakistani resident
company: amounting Rs. 50,000.
b. Interest on Swiss Bonds (one-third is received in Pakistan) Rs. 60,000.
c. Pension from Pakistan Government but received in New York Rs. 25,000.
d. Rent for tax year 2008 of a house property situated in New York and
received there on 01-01-2008; Rs.500,000.
e. Income from agriculture in New York received there but later on remitted
to Pakistan Rs.80,000.
Find out gross total income of Mr. Imran, if he is:
a. Pakistani resident
b. Non– resident
//////////////////////////////////////////////////////////////////////////////////////////////////////////////
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Spring 2009 FIN623- Taxation Management (Session - 2)
Taxes are important instrument of which one of the following policy?
► Monetary policy
► Fiscal policy
► Trade Policy
► Economic Policy
PAGE 1
Which of the following is opposite to the literal meanings of Tax?
► Burden
► Strain
► Load
► Relieve
PAGE 1
Sec. (11A) of Income Tax Ordinance 2001 defined:
Charitable purpose includes relief of the poor, education, m edictal relief and the advancement of any other object of
general public utility.
► Exclusive definition
► Inclusive definition
► Both Exclusive and Inclusive definitions
► Statutory definition
PAGE 8
Which of the following is the mutual example of both inclusive and exclusive definitions?
► Appellate Tribunal 2(2)
► Banking Company 2(7)
► Association of Person 2(6)
► Employment 2(22)
PAGE 9 Exclusive as well as Inclusive

Examples of above type are given below:
Sec 2(7) banking company means a banking company as defined in the banking companies ordinance, 1962
and includes any body corporate which transacts the business of banking in Pakistan.

Which of the following is the Special Accounting Year of Sugar Companies?
► 1st January to 31st December
► 1st July to 30th June
► 1st October to 30th September
► 1st September to 31st August
PAGE 13
Suppose a Profit acquired by a cultivator for produce after harvesting.
The profit of the cultivator will be treated in
► Income from Business
► Agriculture Income
► Income from Property
► Capital Gain
PAGE 20 Following Income are held to be “Agricultural Income”
•Profit on sale of standing crops or the produce after harvest by a cultivating owner or tenant of land.

Suppose due to hailstorm damages caused to crops that was insured against Insurance policy. The compensation
received from an insurance company for damages caused by
What will be the tax treatment of such amount received?
► Exempt as Agriculture Income
► Capital Gain
PAGE 20
What is the tax treatment of any profit on the US Dollar Bonds purchased by t resident person after December 1999
under Second Schedule?
► Wholly exempt
► Wholly taxable
► Tax @10% of profit paid
► Not mention in second schedule
PAGE 25
Reduction in Tax Rates under Second Schedule Part 2
• Profit on Special US Dollar Bonds or out of new account opened after December 16, 1999.At the
Rate of 10 percent of amount of profit by Resident Person

Salary income received by resident person from Federal Government of Pakistan in UK belongs to which of the
following?
► Pakistani source of Income
► Foreign source of income
► Both Pakistan and foreign source of income
► None of the given option
Geographical Source of Income-Sec101 Pakistan-Source Income:
Is paid by, or on behalf of, the Federal Government, a Provincial Government, or a local authority
in Pakistan, wherever the employment is exercised
Mr. Khan Resident of Pakistan received salary from UK? His salary will be included in which of the following?
► Pakistan source income
► Foreign source income
► Both Pakistan and foreign source income
► None of the given options
Foreign Source Salary of Resident Individuals Sec. 102

(1) Any foreign-source salary received by a resident individual shall be exempt from tax if the individual has paid
foreign income tax in respect of the salary.

In which of the following heads of Income No deductions are allowed:
► Salary Income
► Capital Gains
PAGE 36 Significant Points:
Salary from more than one source during a tax year is taxable income.
· No deductions are allowed under the head “Income from Salary”

Utilities were exempted up to 10% of MTS or Basic salary till 30th June, 2006, vide clause 38 of part 1 of Second
Schedule. This clause has been omitted by:
► Finance Ordinance 2004
► Finance Ordinance 2005
► Finance Act 2006
PAGE 46
Note 1:
Utilities were exempt up to 10% of MTS or Basic salary till 30th June, 2006, vide clause 38 of part 1 of Second
Schedule. This clause has been omitted by Finance Act, 2006. Hence no exemption is available for tax year 2009.

► Minimum time scale
► Minimum transfer Salary
► Maximum time scale
► Maximum transfer Salary
Concept of MTS (Minimum of Time Scale):
This is the starting point or minimum amount which is available to an employee under a timescale

Which of the following is the tax treatment of free hospitalization services provided under the terms of employment?
► Wholly exempt
► Wholly taxable
► Taxable up to 10% of MTS
► Exempt up to 10% of MTS
PAGE 48
Which of the following may grant approval to any gratuity fund?
► Federal Tax Ombudsman
► Federal Government
► Superior judiciary
► Commissioner of Income Tax
PAGE 54
Approved Gratuity Fund
• Commissioner of Income Tax may accord approval to any gratuity fund.

Rental income earned is taxable on a net income basis that is, after deduction of tax admissible expenditure and
allowances from gross rent, for up to Tax year:
► 2007
► 2008
► 2006 not sure
► 2005

Debt means "any amount owing", than which one of the following doesn't cover by the definition of Debt under
section 2(15)?
► Accounts payable
► Promissory notes
► Bills of exchange
PAGE 8 2(15) “debt” means any amount owing, including accounts payable and the amounts owing under
Promissory notes, bills of exchange, debentures, securities, bonds or other financial instruments;
What is the tax treatment for any fine or penalty paid or payable by the person for the violation of any law, rule or
regulation?
► Deducted as per section 20
► Not allowed to be deducted as per section 21
► Deducted as per section 21
► Not allowed to be deducted as per section 22
PAGE 67 Deductions not Allowed – Sec. 21
g. Any fine or penalty paid or payable by the person for the violation of any law, rule or regulation.

Which section defines 'Speculation business' under head Income from business?
► Section 20
► Section 19
► Section 24
► Section 18
PAGE 66 Speculation Business Sec. 19:
• Speculation means any business in which a contract for the purchase and sale of any commodity (including [stocks]
and shares) is periodically or ultimately settled otherwise than by the actual delivery or transfer of the commodity,
but does not include a business in which:

Which of the following is the rate of amortization of pre-commencement expenditure under section 25 of the income
tax ordinance 2001?
► 10%
► 20%
► 30%
► 50%
PAGE 69Pre-commencement expenditure (Sec.25)
Rate of amortization of pre-commencement expenditure shall be 20%.

A/B
The above formula is for the calculation of Amortization deduction allowed under section 24. Which of the following
is the value of A?
► Normal useful life of intangible
► Book value of intangible
► Cost of intangible
► Sale price of intangible
PAGE 68 Amortization deduction allowed as under
A/B
Where
A is the cost of intangible; and
B is normal useful life of intangible

Turnover from all sources Rs.50, 000,000
Tax liability (due to loss or exemption from tax) = Nil
What will be the minimum tax to be paid at 0.5% of turnover?
► Rs.300, 000
► Rs.200, 000
► Rs.250, 000
► Rs.100, 000

Section 22(15) defines depreciable asset means:
► Any tangible movable property
► Any tangible immovable property (other than unimproved land)
► Structural improvement to immovable property
► All of the given options
PAGE 68
Which section define this 'Income tax depreciation is admissible only in respect of depreciable assets'.
► Section 22(15)
► Section 22 (11)
► Section 23 A
► Section 24

A-B
From the above formula the value 'B' represents which of the following?
► Consideration received on disposal of the capital asset
► Cost of the asset
► Amount of Depreciation
► Market value of the Capital asset
PAGE 79
Income from Dividends charged to tax under which of the following heads of Income?
► Income form Property
► Income from Capital Gain
► Income from Other Sources
Appeal to the collector of sales tax may be filed within which of the period?
► 60 days
► 90 days
► 180 days
► 30 days PAGE 120

Members of income tax appellate tribunal are appointed by which of the following authorities?
http://vuattach.ning.com/
► Income Tax Department
► Provincial Government
► Federal Government
► Judicial Commission
PAGE 108
specify is called;
► Income tax office
► Registered office
► Local Sales Tax Office
PAGE 113

In relation to any registered person means the tax charged under the Sales tax Act in respect of a supply of goods
made by that person and shall include duties of excise chargeable under section 3 of the Central Excises Act, 1944 (I
of 1944) is known as;
► Output tax
► Input tax
► Income tax
► Wealth tax
PAGE 115
Capital value tax is levied on which of the following?
► Capital gain
► Gross profits
► Capital value of asset
► Intangible assets
PAGE 121
Mr. X employed in Pakistan remittance from USA received Rs. 10,000 in Pakistan from past profits. Which of the
following is right for the above scenario?
► Mr. X being resident of Pakistan Rs. 10,000 will be added in Gross total income
► Mr. X being resident of Pakistan Rs. 10,000 will be Subtracted in Gross total income
► Mr. X being non-resident of Pakistan Rs. 10,000 will be added in Gross total income
► Remittance is not income hence it is not included

Which of the following is the general formula for calculating tax credits?
► (A+B) x C
► (A-B) x C
► (A/B) x C
► (A/B) + C
PAGE 41
A woman taxpayer shall be charged to tax if taxable income is:
► Less than Rs. 100,000
► Less than Rs. 150,000
► More than Rs. 200,000
► More than Rs. 240,000
PAGE 125
Which of the following is the rate of tax for salaried Individuals for tax year 2009, wh the taxable income exceeds Rs.
250,000 but does not exceed Rs. 350,000?
►Nil
►0.250%
►0.50%
► 0.75%
PAGE 125
Mr. A is an employee of Government of the Punjab, his data for the year 2009 is given below.
Salary Rs. 60,000 per month
Gratuity Rs. 1,000,000
Tax deducted at source Rs. 54,000
What will be the Mr. A's taxable income for tax year 2009?
► 774,000
► 720,000
► 1,060,000
► 1,720,000

Statutory Provident Fund is governed by:
► Insurance Act 1969
► Provident Funds Act 1925
► None of the given options appetence
PAGE 60

What will be the tax liability of an individual under the head income from property
► Rs.17,750
► Rs. 23,500
► Rs. 47,000
► Rs. 70,500

Any salary paid or payable exceeding paid other than by a crossed cheque or direct transfer of funds to the employee's
bank account is not allowed to deduct under section 21 of the ordinance.
► Five thousand rupees per month
► Ten thousand rupees per month
► Fifteen thousand rupees per year
► Two hundred thousand rupees per year
PAGE 67

Which of the following is the rate of tax for AOP for ta income exceeds Rs. 100,000 but does not exceed Rs. 180000
►0%
►0.25%
►0.50%
► 0.75%
PAGE 125

What is the tax rate of Banking companies for the
► 35%
► 44%
► 54%
► 42%

Amount of Capital value tax for the year 2009 for a mo should be which of the following?
► Rs. 3,500
► Rs. 7,500
► Rs. 8,500
► Nil
PAGE 122


Mr. Farooq's salary is Rs.22, 000 per month. He received commission during the year amounting to Rs.33, 000. He is
provided a jeep by his employer for personal as well a official use. The employer took this jeep from a leasing
company at an annual lease of Rs.80, 000. The fair market value of the 000.Calculate the taxable income of Mr.
What are the Penalties in case of failure to maintain record and non compliance with the notice under section 185 and
186 of Income Tax Ordinance 2001 respectively?

What are the exemptions available in Tax Ordinance 2001 related to Prope Income?
What are the basic features of Sales?

Compute the taxable income and tax liability of M r. Jami a salaried individual. The data pertaining to tax year 2009
is given below:
1. Basic salary Rs 20,000p.m.
2. House rent allowance Rs 5,000 p.m.
3. Bonus Rs. 6,000p.m.
4. Medical Allowance Rs 5,100 p.m.
5. Free hospitalization services availed under terms of employment. Rs 40,000
6. Driver's salary paid by employer Rs 8,000 p.m.
7. Dearness Allowance Rs 6,000 p.m.
8. Utilities Rs. 40,000

For tax year 2009 in respect of compute taxable income and tax thereon employee of Government of the Punjab.
Relevant information/data is given below
Salary
Utilities
Bonus
Dearness Allowance
Gratuity
Conveyance allowance (Partly for Person
Cost of vehicle to the employer was
Tax deducted at source
Concessional Loan of Rs 1 million provid
(bench mark rate for tax year 2009 is 11%
Rs. 500,000
Rs. 50,000
Rs. 72,000
Rs. 60,000
Rs. 1,000,000
y for office use)
Rs 1,000,000
Rs. 54,000
oyer @ of markup of 6% per anum
//////////////////////////////////////////////////////////////////////////////////////////////////////////////
///////////
Which one of the following is the main objective of Fiscal Policy?

Select correct option:
Price stability
Removal of deficit in Balance of Payment
Question # 2 of 15 ( Start time: 03:18:46 PM ) Total Marks: 1

Utilities were exempted up to which of the following tax year?
2004
2005
2006
2007

Which of the following is the main tool of Fiscal Policy?
Taxes
Deficit Financing
Subsidies
Transfer Payments

Which of the following is the general formula for calculating tax credits?
(A + B) x C
(A - B) x C
(A / B) x C
(A / B) + C

Which of the following is tax, where the tax rate decreases as the amount to which the rate is applied increases?
Proportional tax
Progressive tax
Regressive tax
Corporate tax

Which one of the following is the general definition of tax?
Compulsory contribution of wealth by persons

Optional contribution of wealth by persons
Compulsory contribution of wealth by state
Optional contribution of wealth by state

Payment of Zakat is entitled to a deductible allowance according to provisions of sec.60.
True 000
False

Which of the following section deal with tax treatment of person who is a cultivator or receiver of agricultural produce
as rent-in-kind in the business of cultivator?
Rule 11 of the IT Rule 2002

Section 40 of the Income Tax Ordinance 2001

Agricultural income does NOT include which one of the following?
Rent or Revenue derived by a person from land

Income derived from land situated in Pakistan
The land is used for agricultural purposes
Income from spontaneous forest

Which part of income is charged to tax of non-resident person under the income tax ordinance 2001?
Pakistani source of income


Mr.John a non-resident received profit in Pakistan on a security issued by a resident person, how the profit will be
treated under sec (46) of IT Ordinance 2001?
Wholly Taxable
Wholly Exempt
Partly Exempt

Any dividend is Pakistan source income if it is paid by which of the following?
By resident Company
By non resident Company
By resident Individual
By resident AOP

Which of the following tax is payable on merchandise imported or exported from one country to another?
Custom duty
Income tax
Sales tax
Wealth tax

3.50%
4.50%
6.00%
7.50%

Special tax year is adopted after seeking approval from the ____________ under section 74(3).
Commissioner
Tax Officer
Appellate Tribunal
Supreme Court

Which of the following tax is paid in relation to how much you earn?
Income Tax
Inheritance Tax
Value added Tax
Sales Tax

Which of the following section of Income Tax Ordinance 2001 deals with perquisites of Income from Salary and its
treatment?
Section 11
Section 12
Section 13
Section 14

An Individual will be termed as Short Term Resident under section 50 of the IT Ordinance 2001 provided:
His period of stay equal to 183 days

The employee of Federal Government
The citizen of Pakistan
Resident solely by reason of the individual’s employment

A definition that includes the dictionary meanings of the word is termed as:
Both Inclusive & Exclusive definitions

Which one of the following is the general meaning of Tax?
Relax
Lighten
Relieve
Fatigue

Which of the following is similar to the concept of clubbing of Incomes?
Unification only two heads of Income

Association of two or more heads of Income
Splitting up of only two heads of Income
Division of two or more than two heads of Income

Non-Agricultural income includes which one of the following?
Income from sale of wild grass

Income from fisheries
Royalty income of mines
Which of the following is the legal status of Al-Habib Bank Limited under section 80 of the ordinance?
Individual
Firm
Banking Company

A firm ABC maintaining its account in accrual basis, at June 27, 2008 it is entitled to receive Rs. 10,000 but actual
payments made at 01 August 2008. In which year it is charged to tax?
2006
2007
2008
2009

Which of the following is the important content for calculating tax on income?
Taxable Income
Residential Status
Tax Year

_____________ is the payment to the holder for the right to use property such as a patent, copyrighted material, or
natural resources.
Permanent Establishment
Royalty
Dividend
Goodwill

Rs. 4,550,000 but does not exceed Rs. 8,650,000?
17.50%
18.50%
19.00%
20.00%

Utilities were exempted up to which of the following tax year?
2004
2005
2006
2007

Which of the following is tax, where the tax rate decreases as the amount to which the rate is applied increases?
Proportional tax
Progressive tax
Regressive tax
Corporate tax
1. Under the head “Income from Property” any rental income received from a trust or welfare institution as provided
in sub clause (2) and (3) of clause (58) is:
1. Wholly exempted
2. Partly exempted
3. Wholly Taxable
4. None of the given options
2. _____________ on account of cancellation of sale agreement of building shall be treated as rental income and
fully taxable.
a. Fair market rent
b. Forfeited amount
c. Rent collection charges
d. Penalty
3. If income of an individual received under the head income from property, is Rs.
470,000, then his tax liability is:
a. Rs. 23,500
b. Rs. 47,000
c. Rs. 70,500
d. Rs. 94,000
4. Rates of Tax for Banking Companies for Tax Year 2007 is:
1. 44%
2. 41%
3. 38%
4. 35%
5. ____________ means a fixed place of business through which the business of an enterprise is wholly or partly
carried on.
a. Franchise
b. Permanent establishment
c. Small Business Units SBU
d. Venture
6. Which of the following is the tax treatment for Income from property received as a rent for the year 2007?
a. 1 /4 of the rent is deduct able as repairs allowance
b. 1 /2 of the rent is deduct able as repairs allowance
c. 1 /5 of the rent is deduct able as repairs allowance
d. No deduction is allowed
7. In case of non adjustable advance received from a building as income from property.
Such rent will be spread in how much of the following years?
a. 5 years
b. 6years
c. 8 years
d. 10 years
8. Suppose non-adjustable advance received from a building as income from property is

Rs. 500,000 in the year 2006. The amount adjustable for each coming year will be?
a. Rs. 100,000
b. Rs. 62,500
c. Rs. 50,000
d. Rs. 500,000
9. Mr. A had constructed a property after availing loan from a commercial bank and paid mark-up amounting Rs
40,000 during the tax year 2006. What is the treatment of this mark-up in calculating the total taxable income from
property as per Income Tax Ordinance 2001?
a. Mark-up is allowed as admissible deduction in the year 2006
b. Mark-up is not allowed as admissible deduction in the year 2006
c. Mark-up is allowed as admissible deduction in the year 2007
d. Half amount of mark up is allowed as admissible deduction in the year 2006
10. Mr. Ali let out a building to M/S XYZ and received gross total rent amounting Rs 1,600,000 during the tax year
2006. He has also hired staff for the collection of rent the salary paid to employees in this context is Rs 120,000 in the
tax year 2006. What is the treatment of this collection charges in calculating the total taxable income from property
as per Income Tax Ordinance 2001?
a. 60,000
b. 80,000
c. 96,000
d. 120,000
11. Under clause (93 A) of the Part 1 of second schedule of Income Tax Ordinance 2001 which of the following’s
Business income is exempted from tax?
a. Income of a Text-Book Board.
b. University or Educational Institution established not for profit purpose.
c. Recognized Vocational Institute.
d. Income of Recognized Sports Board.
12. A loss sustained under the head Capital Gain can be carried forward for the following period:
a. Up to 8 years
b. Up to 10 years
c. Up to 7 years
d. Up to 6 years
13. Capital gain shall be treated a gain:

a. On international transaction
b. On domestic transaction
c. On disposal by way of gift of an asset
d. On disposal of a capital asset
14. A person shall be entitled to a tax credit in respect of any sum given as a donation
in a tax year shall be computed according to which of the following formula:
a. (A/B) x C
b. (A/C) x B
c. (A + B) x C
d. (A - B) x C
15. Members of income tax appellate tribunal are appointed by:

a. Collector of Income Tax
b. Commissioner of Income Tax
c. Federal Government
d. Judicial Commission
1. Agriculture income means an income derived by a person from:
a. Agri-business
b. land situated in Pakistan and used for any purpose
c. land situated outside Pakistan
d. land situated in Pakistan and used for agriculture purpose
2. Which of the following is the best treatment of any “Pakistan Source Income” of a resident of Pakistan?
a. Wholly Taxable
b. Wholly Exempt
c. Partially exempt
d. None of the given options
3. Which one of the following condition must be satisfied for a resident AOP?
a. AOP must be registered in Pakistan
b. Owners of AOP must be resident of Pakistan
c. Control and management of AOP is situated wholly or partly in Pakistan
d. Control and management of AOP lies outside Pakistan
4. Which one of the following sources of income of a Non-resident is taxable in

Pakistan?
a. Pakistan Source Income only
b. Foreign Source Income only
c. Both Pakistan and Foreign Source Income
d. Receipt of any Income in Pakistan
5. Mr. Kamran is a pilot in air force; his salary will be taxed from a separate block, which one of the following rates
will be applied to him?
1. 2.0%
2. 2.5%
3. 3.0%
4. 3.5%
6. Which one of the following conditions must be fulfilled by XYZ Co. in order to become Pakistan Resident Company
under Income Tax Ordinance 2001?
a. Most of it’s branches located in Pakistan
b. Control and management is situated wholly in Pakistan
c. Control and management is situated partly in Pakistan
d. Owners of the company must be resident of Pakistan
7. For the calculation of residential status of an individual, which of the following day is considered as whole day?
a. Day of arrival
b. Day of departure
c. Day of leave including sick leave
d. All of the given options
8. Under which one of the following conditions a profit can be Pakistan Source Income?
a. It is paid by Non-resident Person
b. It is received by Resident Person through permanent establishment outside
Pakistan
c. Borne by Non-resident through permanent establishment in Pakistan
d. It is paid to non resident person through permanent establishment out side
Pakistan
9. Under which one of the following conditions a Business Income can be “Pakistan Source Income”?
a. Income derived from any business carried on in Pakistan
b. Income derived by Non president through permanent establishment in Pakistan
c. Any remuneration paid by resident of Pakistan
d. All of the given options
10. ____________ means a fixed place of business through which the business of an enterprise is wholly or partly
carried on.
1. Franchise
2. Permanent establishment
3. Small Business Units (SBU)
4. Venture
Fill in the Blanks
1. Section 17 of the income Tax Ordinance 2001 has been omitted by Finance Bill
2006.
2. Section 17 of Income Tax Ordinance 2001, Income from property the rent collection
charges should not to exceed 6% of gross rental income.
3. In case of discontinuance of business, return to be file within 15 days of

discontinuance.
4. Pension from Pakistan Government but received outside in Pakistan, is taxable in

case of resident individual.
5. Income of a woman tax payer is not taxable income if it does not exceed Rs.
200,000.
Top of Form
BC080201009 : MUHAMMAD ADNAN AWAIS 3

7
Time Left se
c(
Quiz Start Time: 11:29 PM s)
Which of the following person fulfilled the criteria of a Taxpayer?
Any representative of a person w ho derives an amo
Any person w ho is required to deduct or collect tax
Any person required to furnish a return of income

Top of Form
BC080201009 : MUHAMMAD ADNAN AWAIS 1

3
Time Left se
c(
Quiz Start Time: 11:29 PM s)
Which of the following is the tax where the tax rate remained fixed to the amount on which the rate is applied
increases?
Proportional tax
Progressive tax
Regressive tax
Corporate tax
Bottom of Form
Bottom of Form

Fin 623 All Combined MCQs

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FINALTERM EXAMINATION

FIN623- Taxation Management (Session - 1) Spring 2009

Question No: 1 ( Marks: 1 ) - Please choose one

Question No: 2 ( Marks: 1 ) - Please choose one

Tax year 2003

Tax year 2004

Tax year 2005

Tax year 2006

Question No: 3 ( Marks: 1 ) - Please choose one

Average of last 3 years tax rate

Option to choose current or average of last 3 years tax rate

Current tax rate

Previous year tax rate

Question No: 4 ( Marks: 1 ) - Please choose one

Which of the following methods of accounting is compulsory to adopt for Firm?

Both Accrual and Cash Basis

For Companies –Accrual basis mandatory.

For Others --- optional, cash or Accrual Basis

Question No: 5 ( Marks: 1 ) - Please choose one

Income from Business

Income from Property

Following Income are held to be “Agricultural Income”

Question No: 6 ( Marks: 1 ) - Please choose one

What will be the tax treatment of such income?

Exempt as Agriculture Income

Allowed Reduction in tax rate

Allowed reduction in tax liability

Taxable as Non-Agriculture Income

Ref provided by azeemkhan2000: Following Incomes are held to be “Non-Agricultural Income”

Question No: 7 ( Marks: 1 ) - Please choose one

Resident Individual (Section 82)

Question No: 8 ( Marks: 1 ) - Please choose one

For a non-resident AOP which of the following condition must be satisfied?

Control and management of affairs of AOP is situated partly in Pakistan

Control and management of affairs of AOP is situated wholly in Pakistan

Control and management of affairs of AOP is situated wholly or partly in Pakistan

None of the given options

Control and management of affairs of AOP is situated wholly or partly in Pakistan

Question No: 9 ( Marks: 1 ) - Please choose one

Not mentioned in Income Tax Ordinance 2001

Reimbursement of expenditure by the employer is Taxable

Question No: 10 ( Marks: 1 ) - Please choose one

Not mention in Income Tax Ordinance 2001

Not discussed in Income Tax Ordinance 2001

Reimbursement of expenditure by the employer is Taxable

Question No: 12 ( Marks: 1 ) - Please choose one

MTS stands for which of the following?

Minimum time scale

Minimum transfer Salary

Maximum time scale

Maximum transfer Salary

Concept of MTS (Minimum of Time Scale):

Question No: 13 ( Marks: 1 ) - Please choose one

Trust is established by Government

Trust is approved by Officer of Income Tax

Condition for Approval

• • Fund established under an irrevocable trust and purposes of gratuity fulfilled.

Question No: 14 ( Marks: 1 ) - Please choose one

Finance Ordinance 2004

Finance Ordinance 2005

Finance Bill 2006

Question No: 15 ( Marks: 1 ) - Please choose one

1 /4 of the rent is deduct able as repairs allowance