Question

Statement (1): Taxes include direct as well as indirect taxes.

Statement (2): Fee, penalties, gifts donations, profits of public enterprises are examples of non-tax source of revenue.

विकल्प

• Both statements are true.

• Both statements are false.

• Statement 1 is true but Statement 2 is false.

• Statement 2 is true but Statement 1 is false.

Answer 1

Both statements are true.

Explanation:

• Statement (1): The legal framework for government tax collection classifies all necessary levies as direct or indirect, depending on whether the tax burden can be shifted.
• Statement (2): It accurately lists administrative and commercial earnings such as operational profits, fines, and donations that do not come within the category of compulsory taxation.