Tax Book 2023

Taxation System Chapter- 04

Q.38 Rental income shall be Pakistan-source income if it is derived from:

(a) Lease of movable property in Pakistan

(b) Lease of immovable property in Pakistan

(c) Lease of movable property outside Pakistan

(d) Lease of immovable property outside Pakistan

Q.39 A pension or annuity shall be Pakistan-source income if it is:

(a) Paid by a resident person

(b) Borne by a PE in Pakistan of a non-resident person.

(c) None of the above

(d) Both (a) and (b)

Q.40 Which of the following is not a person for the purpose of Income Tax Ordinance, 2001?

(a) An individual;

(b) A company or AOP incorporated, formed, organised or established in Pakistan or elsewhere;

(c) The Federal Government, a foreign government, a political sub-division of a foreign

government, or public international organisation

(d) None of the above

Q.41 Pre-commencement expenditure shall be amortized @:

(a) 10%

(b) 15%

(c) 20%

(d) 5%

Q.42 Pre-commencement expenditure shall be amortized:

(a) On straight-line basis

(b) Using diminishing balance method

(c) Using sum of digits method

(d) According to the International Accounting Standards

Q.43 Principal Officer used with reference to a company or AOP includes:

(a) a director, a manager, secretary, agent, accountant or any similar officer

(b) any person connected with the management or administration of the company or AOP upon

whom the Commissioner Inland Revenue has served a notice of treating him as the principal

officer thereof;

(c) Both (a) and (b)

(d) None of the above

Q.44 Private Company means a company that is:

(a) Listed company

(b) Subsidiary of a listed company

(c) Not a public company

(d) An AOP in which a private company has made investment

Q.45 Which of the following is not a public company?

(a) a company in which not less than 50% of the shares are held by the Federal Government or

Provincial Government