Question
The Income Tax Act classifies income of a person under _______ different heads of income.
The correct answer is
5
Income Tax Heads Classification
The Income Tax Act, 1961, classifies a person's total income into distinct categories known as heads of income for the purpose of taxation.
There are 5 different heads of income under the Income Tax Act:
- Salaries
- Income from House Property
- Profits and Gains of Business or Profession
- Capital Gains
- Income from Other Sources
All taxable income must be assessed under one of these five heads.
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Important Questions from Income-tax
The Income Tax Act, 1961 provides for rebates and reliefs under___________
- Which of the following are termed as assessees under the Income Tax Act?
A) A Hindu Undivided Family
B) A Company
C) Body of Individuals - Tax rate for collecting income tax is fixed by _______.
For the purpose of computation of income tax, the period of twelve months commencing from the first day of April every year and ending on thirty first March of the next year is known as __________
In each assessment year income tax is charged at the rates given by __________
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