taxes types, methods & budgeting process section 1 Practice Questions Answers Test with Solutions & More Shortcuts

Question : 21 [UPSC (Pre) 2003]

Consider the following statements. In India, Stamp duties on financial transactions are

1. Levied and collected by the state
2. Appropriated by the Union Government

a) Only 2

b) Both 1 and 2

c) Only 1

d) Neither 1 nor 2

Question : 22

Which of the following are part of Capital Budget of Govt. of India?

1. Proceeds received in the public account of India
2. PSUs purchasing capital equipment
3. Establishment of “India Post Payment Bank”

a) (ii) & (iii) only

b) (i) & (iii) only

c) (i) only

d) None of the above

Question : 23 [BPSC (Pre) 2017]

Which of the following tax is levied by Union but collected and appropriated by States?

a) Passenger & Goods Tax

b) Taxes on Newspapers

c) Stamp Duties

d) None of the above/More than one of the above

Question : 24

The term “Pump Priming” means:

1. It is a way to stimulate the economy by reducing tax
2. It is done in economic slowdown by increasing government spending
3. RBI prints extra money

a) (i) & (ii) only

b) (iii) only

c) (i) only

d) All of the above

Question : 25 [NDA/NA-SP-2016-II]

Which of the following statements about Krishi Kalyan Cess (KKC) is/are correct ?

1. KKC is calculated in the same way as Service Tax is calculated.
2. The current rate of KKC is 0.50%
3. KKC is similar to the KKS (Krishi Kalyan Surcharge).

a) 2 and 3 only

b) 1, 2 and 3

c) 1 and 2 only

d) 1 only