T4Tutorials .PK

THE PUNJAB SALES TAX ON SERVICES ACT 2012 BOOK KEEPING AND AUDIT PROCEEDINGS (MCQs)

1. “Person” includes all of the following EXCEPT

(A) Partnership firm


(B) Company


(C) Federal Government


(D) Individual




2. “Association of persons” includes

(A) Firm only


(B) Only company


(C) Artificial or juridical person


(D) Only government




3. “Authority” means

(A) FBR


(B) SECP


(C) Punjab Revenue Authority


(D) State Bank of Pakistan




4. “Financial year” means

(A) July–June


(B) April–March


(C) Jan–Dec


(D) June–July




5. “Goods” include

(A) Shares and securities


(B) Movable property


(C) Money only


(D) Immovable property only




6. “Taxable service” is defined in

(A) Section 31


(B) Section 10


(C) Section 25


(D) Section 3




7. Standard rate of tax is

(A) 15%


(B) 18%


(C) 17%


(D) 16%




8. Economic activity includes

(A) Hobby


(B) Business activity


(C) Private recreation


(D) Family event




9. Economic activity does NOT include

(A) Trade


(B) Profession


(C) Business


(D) Employee service




10. Open market price means

(A) Government fixed price


(B) Export price


(C) Free market price


(D) Import price




11. Taxable services over time are treated as

(A) Separate services


(B) Single service


(C) Free service


(D) Donation




12. Tax is charged on

(A) Quantity


(B) Value of service


(C) Weight


(D) Profit




13. Liability to pay tax is normally on

(A) Buyer


(B) Service provider


(C) Government


(D) Court




14. Reverse charge applies to

(A) Supplier


(B) Auditor


(C) Bank


(D) Recipient




15. Exemption is granted by

(A) Court


(B) Parliament only


(C) Police


(D) Authority with approval




16. Change in tax rate applies at

(A) Invoice date


(B) Return filing


(C) Payment time


(D) Service provision time




17. Withholding tax is deducted by

(A) Specified persons


(B) Any person


(C) Employees


(D) Students




18. Excess tax collected must be

(A) Kept by seller


(B) Refunded by bank


(C) Ignored


(D) Paid to Government




19. Tax payment is made at

(A) Daily basis


(B) Return filing time


(C) Weekly basis


(D) Random basis




20. Tax invoice must include

(A) Tax amount


(B) Salary details


(C) Bank balance


(D) Profit margin




21. Records must be maintained in

(A) Any language


(B) Arabic only


(C) Urdu or English


(D) Chinese only




22. Records retention period is

(A) 5 years


(B) 8 years


(C) 6 years


(D) 10 years




23. Audit is conducted by

(A) Police officer


(B) Judge


(C) Bank manager


(D) Authority officer




24. Audit begins with

(A) Notice


(B) Arrest


(C) Punishment


(D) Suspension




25. Registration is required for

(A) Employees


(B) Visitors


(C) Students


(D) Service providers




26. Voluntary registration applies to

(A) Mandatory persons


(B) Courts


(C) Government only


(D) Non-mandatory persons




27. Compulsory registration is done by

(A) Court


(B) Police


(C) Bank


(D) Commissioner




28. Suspension of registration means

(A) Permanent cancellation


(B) Temporary inactivation


(C) Tax exemption


(D) Refund




29. Registration can be cancelled after

(A) Complaint only


(B) Inquiry


(C) Gift


(D) Request only




30. Tax invoice is

(A) Optional document


(B) Bank slip


(C) Mandatory document


(D) Court order




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