(tax) Economic Influence on Business Activity Quiz

What is income tax charged on?

• National Insurance contributions

• Income from employment or investments

• Company profits

• Sales of goods and services

Which type of tax is applied at the point of sale?

• Income tax

• Corporation tax

• National Insurance contributions

• Value-added tax (VAT)

Who pays National Insurance contributions?

• Only employees

• Only sole traders

• Only employers

• Both employers and employees

What is corporation tax charged on?

• Individual income

• Company profits

• Sales of goods

• National Insurance contributions

Which of the following is a direct tax?

• Value-added tax (VAT)

• Income tax

• Sales tax

• Excise duty

What does VAT stand for?

• Variable Added Tax

• Value-added Tax

• Verified Additional Tax

• Voluntary Added Tax

Which tax is collected by businesses and passed on to the government?

• Income tax

• Corporation tax

• Value-added tax (VAT)

• National Insurance contributions

What are the different rates of income tax based on?

• The type of business

• The amount of sales

• The amount of money a person earns

• The number of employees

Which type of tax applies only to private and public limited companies?

• Income tax

• National Insurance contributions

• Corporation tax

• Value-added tax (VAT)

What is the purpose of National Insurance contributions?

• To finance infrastructure projects

• To support educational institutions

• To cover healthcare, state pensions, and employment-related benefits

• To fund public transportation