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    5. Which of the following is a direct tax?

    Question

    Which of the following is a direct

    tax?
    A VAT Correct Answer Incorrect Answer
    B Excise Duty Correct Answer Incorrect Answer
    C Goods & Service Tax Correct Answer Incorrect Answer
    D Income Tax Correct Answer Incorrect Answer

    Solution

    Income Tax is a direct tax, as it is levied directly on individuals or entities based on their income. VAT (Value Added Tax), Excise Duty, and Goods & Service Tax are examples of indirect taxes, as they are imposed on goods and services rather than directly on income.

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