Multiple choice general knowledge

Which of the following is not a direct tax?

  1. Wealth Tax

  2. Profession Tax

  3. Income tax

  4. Sales Tax
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Sales Tax is an indirect tax because it is collected by intermediaries (retailers) from consumers and then passed to the government. The burden of this tax can be shifted to the final consumer. Direct taxes like Income Tax, Wealth Tax, and Profession Tax are paid directly by the person on whom they are levied.

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