Practice Set - 1 | Practice Set | NISM Series XXI-B: Portfolio Managers Certification Examination

Question 1

Which of the following incomes is generally exempt subject to prescribed conditions?

Question 2

Can indexation reduce taxable long-term capital gains by increasing acquisition cost?

Question 3

A taxpayer sells listed equity shares after 14 months at a profit. The gain is most likely classified as:

Question 4

Which of the following is generally treated as speculative income?

Question 5

Interest earned on fixed deposits is generally taxable under:

Question 6

Can capital losses from equity shares be adjusted against salary income?

Question 7

Which of the following best describes tax avoidance?

Question 8

Which factor most directly determines whether a capital asset is short-term or long-term?

Question 9

Indexation benefit is generally available for:

Question 10

Which of the following is generally eligible for set-off against long-term capital gains?

Question 11

Tax deducted at source mainly helps the government by:

Question 12

Can tax planning legally reduce tax liability if done within provisions of law?

Question 13

Can long-term capital losses on equity investments be carried forward subject to prescribed conditions?

Question 14

Tax harvesting primarily aims to:

Question 15

Can tax considerations alone determine an ideal investment decision?

Question 16

A taxpayer with only exempt income is always exempt from filing income tax returns.

Question 17

Can short-term capital losses generally be adjusted against long-term capital gains?

Question 18

Advance tax liability generally arises when:

Question 19

A taxpayer reinvests eligible capital gains into specified instruments to claim exemption. This process is commonly known as:

Question 20

A taxpayer reports lower income intentionally to reduce taxes. This practice is known as:

Question 21

Which of the following is generally NOT considered a tax-saving investment?

Question 22

Can dividend income be received tax-free merely because it is directly credited into a bank account?

Question 23

A taxpayer delays selling appreciated securities until they qualify for LTCG treatment. This strategy mainly reflects:

Question 24

Which tax primarily applies on the purchase and sale of securities through stock exchanges?

Question 25

The main objective of tax planning in portfolio management is to:

Question 26

Dividend income received by investors is generally taxable in the hands of:

Question 27

Which of the following is generally taxed at slab rates?

Question 28

Which of the following investments is most likely eligible for deduction under Section 80C?

Question 29

Long-term capital gains on equity-oriented investments arise when the holding period exceeds:

Question 30

Short-term capital gains on equity shares sold through a recognized stock exchange are generally taxable under:

Question 31

A capital gain arising within 12 months on listed equity shares is generally treated as:

Question 32

Which of the following is most likely to qualify as a capital asset?

Question 33

Income tax in India is primarily classified as:

Question 34

A taxpayer earns profits from frequent share trading with high turnover and short holding periods. Tax authorities may classify such income as:

Question 35

Practice Set - 1