WBCS.LIVE practice question

Which of the following is an example of a 'Direct Tax' in India?

Solve this multiple-choice question and check the correct answer with its explanation below.

Answer options

  1. Goods and Services Tax (GST)
  2. Customs Duty
  3. Income Tax
  4. Excise Duty

Correct answer and explanation

Correct answer: Income Tax

Explanation: āœ… Correct Answer: C) Income Tax šŸ“š Explanation: A direct tax is paid by an individual or organization directly to the entity that imposed it, and its burden cannot be shifted to others. Income tax and Corporate tax are the most prominent examples of direct taxes in India. Indirect taxes, like GST, are collected by an intermediary from the consumer and then paid to the government.