Tax Quiz 4

Which tax was introduced by the British government in 1935 as a source of revenue?

• Income Tax

• Sales Tax

• Corporate Tax

• Excise Duty

Who is regarded as the father of modern taxation and contributed significantly to tax theories?

• Karl Marx

• Adam Smith

• David Ricardo

• John Keynes

Which Mauryan ruler is credited with implementing an efficient tax collection system?

• Ashoka

• Chandragupta Maurya

• Bindusara

• Brihadratha

Which British-era tax was abolished post-independence in India?

• Salt Tax

• Land Revenue Tax

• Excise Duty

• Customs Duty

Which of the following tax-related policies of the British contributed to agrarian distress and became a factor in the Revolt of 1857?

• Introduction of Income Tax Act, 1860

• Increase in land revenue under the British system

• Reduction of tariffs on Indian goods

• Exemption of British officials from taxation

Which of the following is NOT a feature of direct tax?

• It is progressive in nature

• It is levied on individuals or organizations

• It is passed on to consumers

• It is governed by the Income Tax Act, 1961

Which of the following is a characteristic of indirect taxes?

• Burden of tax falls on the person who earns income

• It is collected directly from individuals

• It is transferable from one person to another

• It is levied on property ownership

What is the main purpose of levying direct taxes in an economy?

• To encourage inflation

• To redistribute wealth and reduce income inequality

• To increase indirect tax collection

• To increase exports

Under which section of the Income Tax Act is 'Income from Other Sources' taxed?

• Section 50

• Section 56

• Section 80

• Section 90

Which of the following incomes is taxable under 'Income from Other Sources'?

• Salary income

• Capital gains

• Dividend income

• Business income