Match the LIST-I with LIST-II
LIST-I LIST-II A. Deduction of Tax at source on fees for professional and technical services I. Section 194 B B. Deduction of Tax at source from income by way of rent II. Section 193 C. Deduction of Tax at source from winnings from lotteries or crossword puzzles, etc. III. Section 194-I D. Deduction of Tax at source from interest on securities IV. Section 194 J
Choose the correct answer from the options given below:
Understanding Tax Deduction at Source (TDS) Provisions
Tax Deduction at Source, commonly known as TDS, is a mechanism under the Income Tax Act where the person making specified payments is required to deduct tax at a prescribed rate before making the payment to the recipient. This ensures timely collection of tax by the government.
Analyzing the Lists for TDS Matching
The question requires matching items from LIST-I (types of payments/income) with corresponding TDS sections from LIST-II.
LIST-I Items Explained:
- A. Deduction of Tax at source on fees for professional and technical services: This refers to tax deducted when payments are made for services like professional consultation, technical expertise, royalties, etc.
- B. Deduction of Tax at source from income by way of rent: This involves tax deduction when rent is paid for the use of land, building, machinery, furniture, or fittings.
- C. Deduction of Tax at source from winnings from lotteries or crossword puzzles, etc.: This applies to tax deducted on prize money received from lotteries, crossword puzzles, card games, or any other game of chance.
- D. Deduction of Tax at source from interest on securities: This covers tax deducted when interest is paid on securities like debentures, bonds, or government securities.
LIST-II Items Provided:
- I. \(\text{Section } 194\)
- II. \(\text{Section } 193\)
- III. \(\text{Section } 194\)
- IV. \(\text{Section } 194 J\)
Correct Matches as Per the Provided Answer
Based on the correct option provided, the following matches are established:
- A (Fees for professional and technical services) is matched with IV (\(\text{Section } 194 J\)). This aligns with the nature of professional or technical service payments.
- B (Income by way of rent) is matched with III (\(\text{Section } 194\)). In the context of this question's correct answer, Section 194 is designated for rent payments.
- C (Winnings from lotteries or crossword puzzles, etc.) is matched with I (\(\text{Section } 194\)). In the context of this question's correct answer, Section 194 is designated for lottery winnings.
- D (Interest on securities) is matched with II (\(\text{Section } 193\)). This aligns with the provision for TDS on interest on securities.
Summary Table of Matches
| LIST-I Item | Description | Corresponding LIST-II Section (as per correct answer) |
|---|---|---|
| A | Fees for professional and technical services | \(\text{Section } 194 J\) |
| B | Income by way of rent | \(\text{Section } 194\) |
| C | Winnings from lotteries or crossword puzzles, etc. | \(\text{Section } 194\) |
| D | Interest on securities | \(\text{Section } 193\) |
Understanding these Deduction of Tax at Source (TDS) provisions is essential for accurate tax compliance.
Important Questions from Deduction and Collection of tax at source
Income received and accrued or arisen outside India from a business controlled in or a profession set up in India, is taxed in the hands of which of the following?
a. Every citizen of India
b. Domicile of India
c. Ordinary Resident
d. Non-Ordinarily Resident
e. Non-Resident
Choose the correct answer from the options given below:
Match List I with List II:
List I List II (A) Section 80 EE (I) Deduction in respect of rent paid (B) Section 80 GG (II) Deduction in respect of certain donations for scientific researches (C) Section 80 GGA (III) Deduction in respect of interest on loan taken for residential house (D) Section 80 E (IV) Deduction in respect of payment of Interest on loan taken for Higher Education. Choose the correct answer from the options given below:
Which of the followings is correct about deduction available in respect of contribution to various provident funds in case of salaried employees?
(A) Employer's contribution to recognised provident fund is exempted upto 12% of salary.
(B) Employer's contribution to unrecognised provident fund is exempted from tax.
(C) Employer does not contribute to Public Provident Fund.
(D) Deduction under Section 80 C is available for employer's contribution in unrecognized provident fund.
Choose the correct answer from the options given below:
Match List I with List II
List I
List II
A.
80 GG
I.
Deduction in respect of contribution
given by companies to political parties.B.
80 GGA
II.
Deduction in respect of contribution given
by any person to political parties.C.
80 GGB
III.
Deduction in respect of scientific research.
D.
80 GGC
IV.
Deduction in respect of rent paid.
Choose the correct answer from the options given below:
Mr. X is entitled to transport allowance of Rs. 1,800 p.m. for commuting from his residence to office and back and he spends Rs. 1,400 p.m. The exemption shall be allowed of
