ACCA F6 : Taxation And Pension Contributions! Trivia Quiz

14 Questions | By LFTC2011 | Updated: Mar 21, 2022 | Attempts: 278

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ACCA F6 : Taxation And Pension Contributions! Trivia Quiz - Quiz

MCQ quiz of Chapter 5 of ACCA F6 Taxation (Pension)

Questions and Answers

1.

Two types of pension are Personal Pension and __________ Pension.
- A.
  
  Job
- B.
  
  Work
- C.
  
  Occupational
- D.
  
  Professional
2.

_______________ is also known as Money Purchase Scheme.
- A.
  
  Personal Pension
- B.
  
  Occupational Pension
- C.
  
  Defined Benefit
- D.
  
  Defined Contribution
3.

An individual can contribute in __________ pension scheme(s) subject to certain limits.
- A.
  
  More than one
- B.
  
  Only One
- C.
  
  Less than one
4.

Tax relievable pension contributions can be made by a person under the age of:
- A.
  
  55
- B.
  
  65
- C.
  
  75
- D.
  
  85
5.

The minimum amount of pension contributions that can be made by anyone (less than 75) is:
- A.
  
  £1,000
- B.
  
  £2,500
- C.
  
  £3,600
- D.
  
  £10,000
6.

Relevant earnings, in respect of an individual for pension contributions, is broadly:
- A.
  
  Employment Income, Trading Income and Furnished Holiday Lettings
- B.
  
  Employment Income, Trading Income and Rental Income
- C.
  
  Employment Income, Trading Income and Patent & Royalties
- D.
  
  Employment Income, Trading Income and Dividends
7.

Romeo earned £10,000 from his employment, £5,000 from self-employment, £2,000 gross from dividends and £3,000 net from Building Society Interest. The maximum contribution that attracts tax relief is:
- A.
  
  £3,600
- B.
  
  £10,000
- C.
  
  £15,000
- D.
  
  £20,000
8.

If a person with relevant earnings of £15,000 pays £10,000 to an HMRC approved pension scheme (personal); his pension fund will increase by:
- A.
  
  £3,600
- B.
  
  £10,000
- C.
  
  £12,500
- D.
  
  £15,000
9.

Annual allowance (maximum amount that can be contributed each year) for £2011/12 is:
- A.
  
  £25,000
- B.
  
  £50,000
- C.
  
  £75,000
- D.
  
  £ 80,000
10.

George contributed £30,000, £40,000, £50,000 and £60,000 gross personal pension contributions in the tax years 2007/08, 2008/09, 2009/10 and 2010/11. What is the maximum contribution the person can make in 2011/12 attracting tax relief?
- A.
  
  £40,000
- B.
  
  £50,000
- C.
  
  £60,000
- D.
  
  £70,000
11.

Trow made £5,000 contributions in excess of the annual allowance who is additional rate taxpayer. The treatment of the excess of contribution over the annual allowance is:
- A.
  
  £5,000 will be considered as non-savings income and he will pay tax on the same
- B.
  
  There will be no additional tax payable
- C.
  
  £5,000 will be reduced from the non-savings income
- D.
  
  £5,000 will be deducted from the annual allowance of next year
12.

Pension fund can be utilized when a person reaches the age of:
- A.
  
  45
- B.
  
  55
- C.
  
  65
- D.
  
  75
13.

Lifetime allowance for 2011/12 is:
- A.
  
  £1,000,000
- B.
  
  £1,400,000
- C.
  
  £1,800,000
- D.
  
  £2,200,000
14.

If the pension fund exceeds annual allowance at the time benefit is started (vested), the excess over £1,800,000 will give rise to:
- A.
  
  Excess being penalized at 10%
- B.
  
  55% taxed if excess value withdrawn
- C.
  
  25% taxed if excess value withdrawn
- D.
  
  All taxed at 10%