XX Taxation in Securities Markets - 14

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Q 1. What type of offering involves selling securities to the general public for the first time?

Rights Issue

Offer to Public

Bonus Issue

None of the above
 
Q 2. What is the cost of acquisition of units in a segregated portfolio computed?

Cost of acquisition of units in a segregated portfolio multiplied by the net asset value

The cost of acquisition of units in a segregated portfolio divided by the net asset value of the total portfolio

Cost of acquisition of units in the total portfolio multiplied by the net asset value

None of the above
 
Q 3. How long can AMT credit be carried forward?

5 years

10 years

15 years

Indefinitely
 
Q 4. How is the period of holding calculated for split or consolidated shares?

It starts with the date of splitting or consolidation

It starts from the date of sale of split or consolidated shares

It starts from the date of acquisition of the original shares

It starts from the date of declaration of bonus shares
 
Q 5. Can non-residents claim deductions under Chapter VIA on dividend income received from GDRs?

Yes

No
 
Q 6. What is the period of holding for shares acquired through an amalgamation when held as capital assets?

The period since the incorporation of the amalgamated company

period since the date of the acquisition of the original shares in the amalgamating company

period since the date of allotment of shares in the amalgamated company

Determined by the shareholder
 
Q 7. What is the responsibility of intermediaries in the context of the International Financial Services Centres Authority (Issuance and Listing of Securities) Regulations, 2021?

Only handling transactions related to equity shares

Ensuring compliance with tax regulations

Managing the issuance and listing of securities

None of the above
 
Q 8. Under what circumstances does the Income-tax Act deviate from the general provision and club income of other persons in the taxpayer's income?

If the taxpayer is a non-resident

When the taxpayer earns income from multiple sources

When the taxpayer disposes of property or income to avoid or reduce tax liability

When the taxpayer receives gifts from relatives
 
Q 9. Which agency oversees corporate governance and regulations related to companies in India?

Ministry of Finance (MoF)

Ministry of Corporate Affairs (MCA)

Department of Economic Affairs (DEA)

None of the above
 
Q 10. Which transactions are not treated as 'transfers' under Section 47 of the Income-tax Act?

Sale of rural agricultural land

Sale of residential property

Sale of listed securities

Sale of industrial property
 
Q 11. What does an investor typically aim to achieve through dividend stripping?

Tax-free dividends and long-term capital gains

Tax-free dividends and short-term capital losses

Taxable dividends and long-term capital gains

None of the above
 
Q 12. Who is liable for GST regarding the exit load for mutual funds?

Purchase of exit load

Sale of exit load

Both a and b

None of the above
 
Q 13. Which provision under Section 50AA prohibits adjustments for capital gains arising from market-linked debentures or specified mutual funds?

Section 48(iii)

Section 45(4)

Section 112A

None of the above
 
Q 14. Which of the following is NOT specifically taxed under the head of 'Income from other sources'?

Interest in securities

Rental income of machinery, plant, or furniture

Capital gains from the sale of property

Compensation for termination of employment
 
Q 15. What is the primary market?

Market for buying and selling existing securities

The market for trading commodities

The market for issuing new securities

None of the above

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