What is the term for gains received from the sale of capital assets?

Capital Gains Asset Appreciation Investment Returns Profit Margins

How are long-term and short-term capital gains differentiated?

By the type of asset sold By the amount of profit generated By the holding period of the asset By the investor's tax bracket

What is the tax rate for short-term capital gains under Section 80C of the Income Tax Act?

10% 15% 20% Varies based on income

What is the holding period for an asset to qualify for long-term capital gains?

12 months 24 months 36 months 48 months

Which of the following is NOT a factor in determining the basic exemption limit for capital gains?

Age Residency status Annual income Type of asset sold

Under Section 54, what type of property sale qualifies for capital gains exemption?

Commercial property Industrial property Residential housing property Agricultural land

What is the time frame for reinvesting proceeds from a residential property sale to qualify for exemption under Section 54?

Within 6 months Within 12 months Within 24 months Within 36 months

What is the purpose of capital gains tax?

To discourage investment To generate government revenue To promote economic growth To redistribute wealth

What is the benefit of understanding capital gains exemptions?

Increased investment risk Higher tax liability Reduced tax burden Guaranteed investment returns

Which section of the Income Tax Act deals with exemptions for capital gains reinvested in specified long-term assets?

Section 54 Section 54EC Section 54EE Section 54F