taxes types, methods & budgeting process section 2 MCQ Questions & Answers Detailed Explanation

Question : 1

Consider the following statements about the Agriculture Income Tax

1. Agriculture Income Tax is levied and collected by the Union Government.
2. Agriculture Income Tax is levied throughout the country in India.

a) Both 1 and 2

b) 1 only

c) 2 only

d) Neither 1 nor 2

Question : 2

MODVAT is related to

a) Wealth Tax

b) Excise duty

c) Value added Tax (VAT)

d) Income Tax

Question : 3

Which of the following are the indirect tax?

a) Income tax and Wealth tax

b) Sales tax and Excise tax

c) Sales tax and Income tax

d) Income tax and Excise tax

Question : 4

Consider the following statements regarding Goods and Services Tax (GST):

1. GST is a value-added tax
2. GST is a multipoint destination-based tax

a) (ii) only

b) Both (i) & (ii)

c) (i) only

d) Neither (i) nor (ii)

Question : 5

The Minimum Alternative Tax (MAT) was introduced in the budget of the Government of India for the year?

a) 1995-96

b) 1991-92

c) 1992-93

d) 1996-97

Question : 6

Fiscal Deficit of the Government of India is equal to which of the following:

a) Non-Debt capital receipts

b) Debt and non-debt capital receipts

c) Debt creating capital receipts

d) Capital receipts less of revenue receipts