General Awareness · Banking Financial Awareness
Regulatory Thresholds and Caps in India
860 Questions
Regulatory Thresholds and Caps in India refer to the statutory limits imposed on finance, taxation, and corporate governance. It covers sectoral caps, expenditure limits, and penalty thresholds defined by law. These questions are crucial for banking, accounting, and civil services exams.
Financial limitsTax deductionsCorporate regulationsElectoral thresholdsPenalties and fines
Regulatory Thresholds and Caps in India Questions
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Rs.10000
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between 100 and Rs.60000
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between Rs.600 and Rs.1000
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None of the above
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30
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20
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40
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50
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None of these
B
Correct answer
Explanation
Section 80 CCF of the Income Tax Act provided for a deduction of up to Rs. 20,000 for investment in specified infrastructure bonds. This was a temporary provision introduced to encourage investment in infrastructure projects. The limit was specifically capped at Rs. 20,000 (20 thousand rupees) as an additional deduction over and above the Section 80C limit.
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Rs. 1.00 lakh per family
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Rs. 2.00 lakh per family
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Rs. 5.00 lakh per family
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Rs. 7.5 lakh per family
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Rs. 10.00 lakh per family
E
Correct answer
Explanation
The Government of India provides Rs. 10 lakh per family as a one-time rehabilitation grant for voluntary relocation from core/critical tiger habitat areas. This incentive aims to reduce human-wildlife conflict, enable tiger conservation, and ensure dignified resettlement of affected communities while protecting biodiversity.
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Rs. 1,45,938 crore
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Rs. 2,87,149 crore
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Rs. 3,91,827 crore
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Rs. 4,12,923 crore
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Rs. 5,28,902 crore
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Rs. 325,000 crore
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Rs. 395,000 crore
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Rs. 415,000 crore
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Rs. 650,000 crore
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Rs. 845,000 crore
A
Correct answer
Explanation
Commercial Banks - Rs. 250,000 crore, Cooperative Banks - Rs. 45,000 crore and Regional Rural Banks - Rs. 30,000 crore
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An unregistered usufructuary mortgage for Rs. 100
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An unregistered gift of immovable property of the value of Rs. 99
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An oral lease of immovable property from year to year
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An oral assignment of debts
A
Correct answer
Explanation
The transfer is invalid. As per section 59 of Transfer of Property Act, 1882, where the principal money secured is one hundred rupees or more, a mortgage other than a mortgage by deposit of title deeds can be affected only by a registered instrument signed by the mortgagor.
C
Correct answer
Explanation
Options (1), (2) and (4) are incorrect.
Option (3) is correct: Under Section 58 of Transfer of Property Act, 1882, six types of mortgages are defined.
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@12%
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@18%
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@15%
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@ 13%
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None of these
B
Correct answer
Explanation
(2) A sum directed to be paid by an arbitral award shall, unless the award otherwise directs, carry interest at the rate of eighteen percent per annum from the date of the award to the date of payment.
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100 g
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200 g
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300 g
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400 g
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500 g
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Rs. 1000/-
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Rs. 100/-
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Rs. 500/-
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Rs. 10,000/-
B
Correct answer
Explanation
Under the Indian Partnership Act, a registered firm cannot claim a set off exceeding Rs. 100/- in any legal proceeding against the firm or its partners. This is a specific statutory limitation on the right of set off for registered firms. Options A, C, and D suggest incorrect amounts - Rs. 1000/-, Rs. 500/-, and Rs. 10,000/- respectively - which are not the limits prescribed by law.
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$10 billion
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$20 billion
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$30 billion
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$40 billion
C
Correct answer
Explanation
The investment limit for FIIs (now FPIs - Foreign Portfolio Investors) in government debt securities was $30 billion. This limit is set by SEBI and RBI and is periodically reviewed to balance capital flows with financial stability concerns.
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10 lakh
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25 lakh
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30 lakh
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50 lakh
B
Correct answer
Explanation
The National Handicapped Finance and Development Corporation (NHFDC) has been set up by the Ministry of Social Justice and Empowerment, Government of India on 24th January, 1997. NHFDC functions as an apex institution for channelising the funds to persons with disabilities through the State Channelising Agencies (SCAs) nominated by the State Government.
Loan assistance is provided to disabled persons for manufacturing, fabrication and production. The disabled person will be the owner/chief executive of the company and will employ at least 15% disabled persons. A maximum loan of 25 lakh is provided for the same.
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Rs. 1,00,000
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Rs. 1,25,000
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Rs. 1,50,000
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Rs. 1,75,000
C
Correct answer
Explanation
Section 80C of the Income Tax Act allows deductions up to Rs. 1,50,000 for specified investments like PPF, ELSS, life insurance premiums, tuition fees, and home loan principal repayment.
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Minimum limit of gold deposit = 500 gm
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No investigation of source of deposited gold
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No upper limit of gold deposit
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All of the above
D
Correct answer
Explanation
The Gold Bond Scheme was launched with a minimum deposit limit of 500 grams to attract even small holders. It allows gold deposits without any investigation into the source of the gold (to encourage voluntary disclosure) and places no upper limit on deposits. All the features mentioned in options A, B, and C are correct.