Multiple choice

Which of the following comes under indirect tax?

  1. Sales Tax

  2. Gift Tax

  3. Wealth Tax

  4. None of these
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Sales tax is an indirect tax because it is levied on goods and services, and the economic burden can be shifted from the seller to the consumer through higher prices. In contrast, gift tax and wealth tax are direct taxes where the person paying the tax cannot shift the burden to another person.

Keep practicing — related questions