1 Which of the following is not a government function

a) creation of employment

b) development function

c) social function

d) political function

2. Identify two rates that are used in the computation of capital allowances

a) 12.5% and 25%

b) 30% and 25%

c) 12.5% and 10%

d) 10% and 25%

3. what is the rate of calculating housing benefit for an ordinary employee?

a) 10% of employment income

b) 15% of employment income

c) 15% of total income

d)15% of pensionable income

4. Which of the following is a tax characteristics

a) compulsory contribution

b) government function

c) voluntary contribution

d) tax revenue

5. Which of the following is a disallowable expense?

a) capital allowances

b) rent expenses

c) electricity expenses

d) depreciation expenses

6. which of the following statements is true?

a) individuals are taxed using individual graduated scale

b) sole proprietorships form of businesses are taxed at corporate tax rate

c) partnerships are not taxable persons

d) zero rated goods and not taxable in kenya

7. which of the following is not a purpose of granting capital allowances?

a)to attract foreign investors

b) to discourage tax evasion

c) to increase the level of tax revenue

d)to encourage investments abroad

8. which of the following defines tax shifting

a) transfer of tax burden from one person to another

b) equality in taxation

c) taxation theories

d) collection of tax revenue

9. which of the following is not a taxation theory?

a) forward shifting theory

b) benefit theory

c) theory of equal sacrifice

d) cost of purchase theory

10. which of the following doesnt constitute value added tax

a) tax charged upon increase in value

b) tax charged on goods

c) tax charged on taxable incomes

d) consumption tax that is charged where there is provision of products

11. which of the following income is subject to a withholding tax that is final

a) pension income

b)dividend from companies based in rwanda

c) farming income

d) dividend from banks

12 which of the following is not an indirect tax

a) income tax

b) VAT

c) Paye

d) Excise tax

13. which of the following is not a taxable benefit

a) perdiems allowance up to Kshs 2000 per day

b) passages to expartriates

c) car allowance

d) school fee benefit

14. which of the two components constitutes a taxable income

a) pension income and interest from abroad

b) farming income and dividend from a company located in Uganda

c) dividends from SACCOs and rental income of Kshs. 15000 per month

d) employment income and rental income of Kshs 142000 annually