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THE PUNJAB SALES TAX ON SERVICES ACT 2012 MCQs

1. Services provided by hotels (classification 9801.1000) are taxed at which rate for small non-corporate businesses?

(A) 16%


(B) 0%


(C) 5% without input tax adjustment


(D) 19.5%




2. Restaurants services under classification 9801.2000 are taxed at:

(A) 5%


(B) 16%


(C) 0%


(D) 10%




3. Clubs including race clubs are taxed at:

(A) 5%


(B) 16%


(C) 0%


(D) 19%




4. Catering services are taxed at:

(A) 16%


(B) 10%


(C) 5% without input tax adjustment


(D) 0%




5. Advertisement on television is taxed at:

(A) 16%


(B) 5%


(C) 0%


(D) 20%




6. Courier services tax rate is:

(A) 10%


(B) 5%


(C) 16%


(D) 0%




7. Telecommunication services are generally taxed at:

(A) 16%


(B) 5%


(C) 0%


(D) 19.5%




8. Internet services provided to educational institutions are:

(A) Taxed 16%


(B) Exempt


(C) 5%


(D) Zero-rated/dedicated exemption




9. Health insurance for individuals is taxed at:

(A) 5%


(B) 10%


(C) 16%


(D) 0%




10. Insurance agents are taxed at:

(A) 10%


(B) 5%


(C) 16%


(D) 0%




11. Stock brokers services are taxed at:

(A) 0%


(B) 5%


(C) 16%


(D) 19%




12. Shipping agents services tax rate is:

(A) 5%


(B) 16%


(C) 0%


(D) 10%




13. Freight forwarding agents are taxed per bill of lading at:

(A) Rs. 1000


(B) Rs. 500


(C) 5%


(D) 16%




14. Construction services (general category) are taxed at:

(A) 5% without input tax adjustment


(B) 10%


(C) 16%


(D) 0%




15. Property developers services tax rate is:

(A) 5%


(B) 16%


(C) Fixed per sq yard/sq ft


(D) 0%




16. Beauty parlors services are taxed at:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 20%




17. Call centres services tax rate is:

(A) 5%


(B) 16%


(C) 0%


(D) 19%




18. Banking companies services are taxed at:

(A) 5%


(B) 16%


(C) 10%


(D) 0%




19. Property dealers services tax rate is:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 19.5%




20. Fashion designers services are taxed at:

(A) 5% without input tax adjustment


(B) 16%


(C) 0%


(D) 20%




21. Architects services are taxed at:

(A) 16%


(B) 10%


(C) 0%


(D) 5% without input tax adjustment




22. Rent-a-car services for end consumers are taxed at:

(A) 16%


(B) 5%


(C) 0%


(D) 10%




23. Manufacturing/job work services tax rate is:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 19%




24. Security agency services tax rate is:

(A) 5%


(B) 0%


(C) 16%


(D) 19%




25. Advertising agents services tax rate is:

(A) 10%


(B) 5%


(C) 0%


(D) 16%




26. Security alarm services fall under:

(A) 0%


(B) 5%


(C) 16%


(D) 20%




27. Laboratories (non-medical) are taxed at:

(A) 5%


(B) 16%


(C) 0%


(D) 19%




28. Gym and fitness services tax rate is:

(A) 5% without input tax adjustment


(B) 16%


(C) 0%


(D) 10%




29. Laundries and dry cleaners tax rate is:

(A) 5% without input tax adjustment


(B) 16%


(C) 0%


(D) 19%




30. Cable TV operators tax rate is:

(A) 16%


(B) 0%


(C) 5%


(D) 10%




31. TV/radio production houses are taxed at:

(A) 5%


(B) 16%


(C) 0%


(D) 10%




32. Logistics services tax rate is:

(A) 16%


(B) 5%


(C) 0%


(D) 19%




33. Photography services tax rate is:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 19%




34. Construction contractors (general) tax rate is:

(A) 20%


(B) 16%


(C) 0%


(D) 5% without input tax adjustment




35. Management consultancy services tax rate is:

(A) 0%


(B) 5%


(C) 16%


(D) 10%




36. Security services (security agency) tax rate is:

(A) 16%


(B) 5%


(C) 0%


(D) 19%




37. Call centre services tax rate is:

(A) 10%


(B) 5%


(C) 0%


(D) 16%




38. Tour operators tax rate is:

(A) 0%


(B) 16%


(C) 5% without input tax adjustment


(D) 19%




39. Visa processing services tax rate is:

(A) 10%


(B) 5%


(C) 0%


(D) 16%




40. Packaging services tax rate is:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 19%




41. Cold storage services tax rate is:

(A) 0%


(B) 16%


(C) 5% without input tax adjustment


(D) 10%




42. Market research agencies tax rate is:

(A) 10%


(B) 5%


(C) 0%


(D) 16%




43. Accountants and auditors tax rate is:

(A) 10%


(B) 0%


(C) 16% or 5% depending category


(D) 20%




44. Goods transport by air tax rate is:

(A) 16%


(B) 5%


(C) 0%


(D) 10%




45. Property management services tax rate is:

(A) 0%


(B) 16%


(C) 5% without input tax adjustment


(D) 19%




46. Warehousing services tax rate is:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 19%




47. Security agencies tax rate is:

(A) 16%


(B) 5%


(C) 0%


(D) 10%




48. Hair transplant services tax rate is:

(A) 0%


(B) 16%


(C) 5% without input tax adjustment


(D) 10%




49. Franchise services tax rate is:

(A) 5%


(B) 16%


(C) 0%


(D) 10%




50. Supply chain management services tax rate is:

(A) 16%


(B) 5%


(C) 0%


(D) 10%




51. Data processing services tax rate is:

(A) 10%


(B) 5%


(C) 0%


(D) 16%




52. Parking services tax rate is:

(A) 16%


(B) 5% without input tax adjustment


(C) 0%


(D) 10%




53. Dress designing services tax rate is:

(A) 0%


(B) 16%


(C) 5% without input tax adjustment


(D) 10%




54. Call centres services tax rate is:

(A) 0%


(B) 5%


(C) 16%


(D) 10%




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