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    Question

    Which of the following is not a canon of taxation as

    stated by Adam Smith?
    A Canon of Equity Correct Answer Incorrect Answer
    B Canon of Simplicity Correct Answer Incorrect Answer
    C Canon of Certainty Correct Answer Incorrect Answer
    D Canon of Convenience Correct Answer Incorrect Answer
    E Canon of Economy Correct Answer Incorrect Answer

    Solution

    Explanation: Adam Smith, in his work The Wealth of Nations, laid down four canons (principles) of taxation: 1. Equity – taxes should be fair. 2. Certainty – taxpayers should know how much and when to pay. 3. Convenience – tax should be collected in a manner convenient for the taxpayer. 4. Economy – the cost of tax collection should be minimal. While simplicity is desirable in a tax system, it is not one of Adam Smith's original canons .

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