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प्रश्न
Which one is better progressive or regressive taxation and why?
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उत्तर
- Progressive taxation is typically thought to be more effective in achieving social equity and fairness. This is because progressive taxes impose a greater burden on those with the financial means to contribute more, decreasing the gap between the rich and the poor. Progressive taxation is considered more equitable.
- In contrast, regressive taxes can worsen income inequality by imposing a disproportionately heavy cost on those who are already struggling financially. This can result in social and economic imbalances, making it a less desirable alternative for promoting fairness and equity in society.
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संबंधित प्रश्न
Match the following and select the correct option:
| Column A | Column B | ||
| (i) | Taxes imposed on income and wealth | A. | Regressive |
| (ii) | Taxes imposed on goods and services | B. | Progressive |
| (iii) | A tax system where the rate of tax decreases with increase income | C. | Direct taxes |
| (iv) | A tax system where the rate of tax increases as income increase | D. | Indirect taxes |
Match the following:
| Column I | Column II | ||
| A. | Impact of tax | (i) | Price stability |
| B. | Incidence of tax | (ii) | Simple to calculate |
| C. | Objective of Monetary Policy | (iii) | Ultimate burden of tax |
| D. | Proportional tax | (iv) | Original imposition of tax |
Read the following statements carefully and choose the correct alternative:
Assertion (A): Income tax is a direct tax.
Reason (R): GST is an indirect tax.
Differentiate between direct and indirect taxes.
'The role of the State is important in developing the economic infrastructure of a developing economy'. Give two reasons to support your answer.
What is meant by shifting of tax burden?
Briefly explain why direct taxes foster civic consciousness among people.
Draw a neat labelled diagram for progressive taxation.
How does the state fulfil the following socio-economic objective?
Promoting industrial growth.
Explain how tax can be used as an instrument to regulate consumption and production in an economy.
