Multiple choice general knowledge

Who needs to produce Tax clearance certificate?

  1. Foreigner Starting business in India

  2. Person Owning Private Corporation.

  3. Person Leaving India

  4. Person Arriving India
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

A Tax Clearance Certificate is required when a person is leaving India permanently to ensure that all tax liabilities have been settled before departure. This certificate is issued by the Income Tax Department and is necessary to prevent tax evasion through emigration. Foreigners starting businesses or persons arriving don't typically need this certificate.

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