Taxation System — MCQ Practice

Which of the following statements regarding the Goods and Services Tax (GST) in India is/are correct? 1. GST is a destination-based consumption tax. 2. The GST Council is a statutory body established under the GST Act, 2017. 3. Petroleum crude, high-speed diesel, motor spirit, natural gas, and aviation turbine fuel are currently outside the purview of GST. Select the correct answer using the code given below:

With reference to the Indian Constitution, which of the following statements about the Finance Commission is/are correct? 1. It is a statutory body constituted every five years by the President of India. 2. It makes recommendations on the distribution of net proceeds of taxes between the Union and the States. 3. Its recommendations are binding on the Central Government. Select the correct answer using the code given below:

Which of the following is NOT a direct tax in India?

Consider the following statements regarding the Laffer Curve: 1. It suggests that increasing tax rates indefinitely will always lead to higher tax revenue. 2. It implies that there is an optimal tax rate that maximizes government tax revenue. 3. It is primarily used to analyze the impact of indirect taxes on consumption. Which of the statements given above is/are correct?

Which of the following taxes levied by the Union are NOT shared with the States as per the constitutional provisions?