Taxation System in India CDS Questions

CDS Economy

Taxation System in India MCQ Questions


1.
Which Entry of the Union List of the Seventh Schedule of the Constitution empowers the Central Government to levy tax on income other than agricultural income?
A.
Entry 92A
B.
Entry 84
C.
Entry 97
D.
Entry 82
😑 View Answer Rough Work Error
ANSWER :
D. Entry 82
2.
Which of the following is a feature that distinguishes a direct tax from an indirect tax?
A.
A direct tax is always a fixed lump sum amount
B.
A direct tax is levied only on goods and services
C.
The burden of a direct tax cannot be shifted to another person
D.
A direct tax is always collected by State Governments only
😑 View Answer Rough Work Error
ANSWER :
C. The burden of a direct tax cannot be shifted to another person
3.
The Central Board of Direct Taxes (CBDT) functions under which Ministry?
A.
Ministry of Commerce and Industry
B.
Ministry of Home Affairs
C.
Ministry of Corporate Affairs
D.
Ministry of Finance
😑 View Answer Rough Work Error
ANSWER :
D. Ministry of Finance
4.
Which body administers indirect taxes such as GST and customs duty in India?
A.
Central Board of Direct Taxes (CBDT)
B.
Reserve Bank of India (RBI)
C.
Central Board of Indirect Taxes and Customs (CBIC)
D.
Securities and Exchange Board of India (SEBI)
😑 View Answer Rough Work Error
ANSWER :
C. Central Board of Indirect Taxes and Customs (CBIC)
5.
Which of the following pairs is correctly matched as a Direct Tax?
A.
GST — tax on supply of goods and services
B.
Customs duty — tax on imported goods
C.
Excise duty — tax on manufacture of goods
D.
Corporate tax — tax on company profits
😑 View Answer Rough Work Error
ANSWER :
D. Corporate tax — tax on company profits
6.
In India, income tax was introduced for the first time in the year:
A.
1858
B.
1886
C.
1865
D.
1860
😑 View Answer Rough Work Error
ANSWER :
D. 1860