Multiple choice

Which of the following comes under direct tax?

  1. Income tax

  2. Import duty

  3. Custom duty

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

Direct taxes are levied directly on individuals or organizations' income or wealth. Income tax is the most common example of a direct tax, where taxpayers pay directly to the government based on their earnings. Import duty and customs duty are indirect taxes because they are collected through intermediaries when goods are imported.

Keep practicing — related questions