Multiple choice

The process of passing on the money burden of tax to another person cannot be possible in import duty when

  1. the commodity is imported for own use by the importer

  2. the commodity imported is sold to another person.

  3. the commodity imported is exported to another country

  4. none of these
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A Correct answer
Explanation

It is not possible in custom duty, when the commodity is imported for own use by the importer. If the commodity is imported for its own use by the importer, the burden of import duty cannot be passed to any other person and importer himself has to bear the burden of import duty. Another person will bear the burden of import duty only when he purchases the commodity imported.

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