Question

Which among the following is not an objective of tax planning?

a.

Maximum tax benefit

b.

Reduced tax burden as a result of prudent investments

c.

Tax evasion

d.

Full advantage of tax breaks

Posted under IC38 Life Insurance Agent Exam

Answer: (c).Tax evasion Explanation:Tax planning is about legally and ethically reducing one's tax burden through various strategies and taking full advantage of tax breaks provided by tax laws. Tax evasion, as mentioned in option c, is illegal and involves not paying taxes that are legally owed. Therefore, tax evasion is not an objective of tax planning.

Interact with the Community - Share Your Thoughts

Uncertain About the Answer? Seek Clarification Here.

Understand the Explanation? Include it Here.

Q. Which among the following is not an objective of tax planning?
Add Comment

Similar Questions

Explore Relevant Multiple Choice Questions (MCQs)

Q. Which of the following is not one of the financial planning advisory services?

View solution

Q. When is the best time to start financial planning?

View solution

Q. What has increased the need for financial planning in modern times?

View solution

Q. What are the three types of financial products needed based on the individual life cycle?

View solution

Q. What is the primary objective of financial planning?

View solution

Q. How are death claim amounts from life insurance policies treated for income tax purposes in India?

View solution

Q. What is the maximum deduction allowed for life insurance premiums under Section 80C of the Income Tax Act in India?

View solution

Q. Under which section of the Income Tax Act in India are life insurance premiums eligible for deduction?

View solution

Q. What is the primary purpose of tax planning?

View solution

Q. What is the main objective of estate planning?

View solution

Q. What does the "conservation" phase in retirement planning involve?What does the "distribution" phase in retirement planning entail?

View solution

Q. What does the "conservation" phase in retirement planning involve?

View solution

Q. What are the three phases of retirement planning?

View solution

Q. Which of the following is NOT an example of an investment vehicle in India?

View solution

Q. What is the first step in investment planning after defining investment parameters?

View solution

Q. How does diversification impact investment strategies?

View solution

Q. What is liquidity in the context of investment parameters?

View solution

Q. How does the time horizon affect investment decisions?

View solution

Q. What does risk tolerance represent in investment planning?

View solution

Q. What is the role of returns in investment planning?

View solution
View All MCQs on IC38 Life Insurance Agent Exam

Recommended Subjects

Are you eager to expand your knowledge beyond IC38 Life Insurance Agent Exam? We've handpicked a range of related categories that you might find intriguing.

Click on the categories below to discover a wealth of MCQs and enrich your understanding of various subjects. Happy exploring!

UIDAI Aadhaar Supervisor Certification

Prepare for the UIDAI Aadhaar Supervisor Certification with our specialized category....

Heat Transfer

Explore the fascinating world of heat transfer with our Heat Transfer category....

Business Statistics

Uncover the power of data analysis with our Business Statistics category. Explore...

Avionics Engineering

Soar into the world of aviation technology with our Avionics Engineering category....

General Knowledge

Expand your horizons and stay informed about the world with our General Knowledge...

Molecular Biology

Dive into the intricate world of molecular biology with our specialized category....

IC 89 Management Accounting

Boost your preparation for the IC 89 Management Accounting exam with our extensive...

Concrete Technology

Welcome to Concrete Technology, a category that unravels the secrets behind the...

IC90 Human Resource Management

Prepare for success in the Insurance Institute of India (III) examination with IC90...