Tag: social science

Quizzes (684) Questions (1162)

Questions Related to social science

Multiple choice social science government and taxes types of tax types of taxes government budget and taxation

Revenue of the state governments is raised from the following sources, except ____________.

  1. entertainment tax

  2. expenditure tax

  3. agricultural income tax

  4. land revenue
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

In India, agriculture is not considered as commercial activity, it is considered as activity of subsistence from hundreds of years. Other areas such as entertainment, expenditure, and land revenue can be seen as business activities for purpose of profit making. This is the main reason for being exclusion of agricultural revenue out side taxation.

Multiple choice social science government and taxes types of tax types of taxes government budget and taxation

Excise duty tax is levied on the _______.

  1. import of goods

  2. export of goods

  3. production of goods

  4. sale of goods
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

  • Excise duty is a tax on manufacture or production of goods. Excise duty on alcohol and narcotic substances is collected by the State Government and is called State Excise duty. The Excise duty on rest of goods is called Central Excise duty.
  • Sales Tax is different from the Excise duty as former is a tax on the act of sale while the latter is a tax on the act of manufacture or production of goods.

Multiple choice social science government and taxes types of tax types of taxes government budget and taxation

Among the tax revenues of the Central government, the leading source is _____.

  1. income tax

  2. corporation tax

  3. union excise tax

  4. custom duty
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

  • The Union excise duties are the leading source of revenue for the Central Government and are levied on commo­dities produced within the country (exclu­ding those commodities on which State excise is levied e.g. liquors and narcotic drugs).
  • The most important commodities from the revenue point of view are sugar, cotton, mill cloth, tobacco, motor spirit, matches and cement.

Multiple choice social science government and taxes types of tax types of taxes government budget and taxation

Which types of tax helps in reducing disparities of income?

  1. Proportionate tax

  2. Progressive tax

  3. Regressive tax

  4. All of the above
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

A progressive tax is a tax in which the tax rate increases as the taxable amount increases. The term "progressive" refers to the way the tax rate progresses from low to high, with the result that a taxpayer's average tax rate is less than the person's marginal tax rate.

Multiple choice social science government and taxes types of tax types of taxes government budget and taxation

Which of the following holds true for an indirect tax _____.

  1. the tax is levied on wealth

  2. the tax is levied on all kinds of income

  3. point of impact and incidence are different

  4. the tax is levied on property
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Indirect tax is a type that is paid to government indirectly  i.e tax on goods and services rather than on income and profits. Examples of indirect tax include VAT, excise duty, service tax, customs duty etc. Point of impact and incidence is different for example we buy a commodity from shopkeeper(point of impact) and tax levied goes to government ( point of incidence).

Multiple choice social science government and taxes types of tax types of taxes government budget and taxation

Consider the following statements and identify the right one:
I- Central government does not have exclusive power to impose tax which is not mentioned in state or concurrent list.
II- The constitution also provides for transferring certain tax revenues from union list to states.

  1. Only I

  2. Only II

  3. Both

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

Central government has exclusive power to impose tax which is not mentioned in state or concurrent list.