Question : Which of the following is an indirect tax?
Option 1: Income tax
Option 2: Sales tax
Option 3: Property tax
Option 4: Excise tax
Correct Answer: Sales tax
Solution : The correct answer is (b) Sales tax.
An indirect tax is a tax imposed on goods and services, typically at the point of sale or consumption. It is called indirect because the tax burden is passed on to the consumer through higher prices rather than being directly levied on individuals or businesses.
Sales tax is an indirect tax. It is imposed on the sale of goods and services at the time of purchase. The tax amount is typically added to the price of the goods or services and collected by the seller, who later remits it to the government.
Question : Which of the following is an example of an indirect tax?
Option 1: Property tax
Option 2: Income tax
Option 3: Sales tax
Option 4: Corporate tax
Question : Which of the following sets of taxes belongs to the Central Government?
Option 1: Excise duty, sales tax and custom duty
Option 2: Income tax, custom duty and house tax
Option 3: Excise duty, custom duty and income tax
Option 4: Custom duty, entertainment tax, and income tax
Question : Which of the following is an example of a non-tax revenue for a government?
Option 3: License fees
Option 4: Property tax
Question : Which of the following is an example of a direct tax?
Option 1: Sales tax
Option 2: Corporate tax
Option 3: Excise tax
Option 4: All of the above
Question : Which of the following is not an indirect tax?
Option 1: Excise tax
Option 2: Goods and services tax
Option 3: Customs duty
Option 4: Wealth tax
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