UPSC Prelims Practice Questions — Union Minister for Finance and Corporate Affairs Smt. Nirmala Sitharaman launches ‘PRARAMBH 2026’ — Income Tax Department’s nationwide awareness campaign on Income Tax Act, 2025

Q1. The Income-tax Rules, 2026, which operationalise the simplified Income-tax Act, 2025, were notified by which authority?

  • A. Central Board of Direct Taxes (CBDT)
  • B. Central Board of Indirect Taxes and Customs (CBIC)
  • C. Department of Economic Affairs
  • D. Department of Financial Services

Q2. The acronym 'PRARAMBH', the name of the 2026 Income Tax Department awareness campaign, expands to which of the following?

  • A. Policy Reform and Responsible Action for Mission Viksit Bharat
  • B. Progressive Revenue Administration for a Modern Bharat
  • C. Public Reform and Accountable Revenue Management Bharat
  • D. Planned Reorganisation and Action for Modernising Bharat

Q3. The AI-enabled chatbot 'Kar Saathi', rolled out alongside the Income-tax Act, 2025, was deployed by which body?

  • A. Income Tax Department
  • B. Goods and Services Tax Network (GSTN)
  • C. National Payments Corporation of India (NPCI)
  • D. Unique Identification Authority of India (UIDAI)

Q4. The 'Kar Saathi' chatbot launched under PRARAMBH 2026 provides taxpayers real-time assistance for how many hours a day?

  • A. 8 hours
  • B. 12 hours
  • C. 18 hours
  • D. 24 hours

Q5. The Central Board of Direct Taxes (CBDT) is a statutory body constituted under which of the following?

  • A. The Central Board of Revenue Act, 1963
  • B. The Income-tax Act, 1961
  • C. The Central Boards of Revenue Act, 1924
  • D. The Finance Act, 1964

Q6. Within the Government of India, the Central Board of Direct Taxes functions directly under which department?

  • A. Department of Revenue, Ministry of Finance
  • B. Department of Economic Affairs, Ministry of Finance
  • C. Department of Expenditure, Ministry of Finance
  • D. Department of Financial Services, Ministry of Finance

Q7. The Income-tax Act, 1961, now replaced, had been amended over six decades through approximately how many separate Taxation Laws Amendment Bills?

  • A. 9
  • B. 19
  • C. 29
  • D. 47

Q8. Which of the following are correctly identified as principles or features of the Income-tax Act, 2025 simplification exercise?

  1. No modification of tax rates was made, preserving predictability.
  2. Tables and formulae replace verbose narrative provisions.
  3. Around 1,200 provisos and 900 explanations were removed or absorbed into plain language.
  4. Higher income-tax slabs were introduced to broaden the tax base.
  • A. 1, 2 and 3
  • B. 2 and 4
  • C. 1 and 4
  • D. 1, 2, 3 and 4