Where yearly contribution of employee did not exceed ₹2,50,000, then amount received from recognized provident fund after five years of continuous service is:

CS Executive · Tax Laws · PYQS · December 2022
Where yearly contribution of employee did not exceed ₹2,50,000, then amount received from recognized provident fund after five years of continuous service is:
(A) fully taxable
(B) fully exempt
(C) taxable to the extent of employer's contribution and interest thereon
(D) taxable at the special rate of 10%

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Income Tax Act, 1961

Open in Interactive Practice Hub · Full Practice Hub · Chapter Weightage · More in this subject

Related Questions in this Topic