Advertisements
Advertisements
Question
The essential feature of a tax.
Options
A compulsory payment
A legal payment
Both Compulsory payment and legal payment.
Neither Compulsory payment nor Legal payment
Advertisements
Solution
Both Compulsory payment and legal payment.
Explanation:
A tax is both a compulsory payment and a legal payment. It is compulsory because it is mandatory for individuals and businesses and legal because taxes are imposed and collected under the authority of the law.
RELATED QUESTIONS
Citing reason state the advantage of a direct tax over an indirect tax.
Give one example of progressive tax.
Explain the term proportional taxation.
Give two reasons why the government imposes tax?
State two drawbacks of direct taxes.
Explain clearly tour ways by which the state can promote economic growth and development.
How does the state fulfil the following socio-economic objective?
Environmental protection.
With reference to the taxation policy.
Differentiate between progressive and regressive taxes giving an example for each.
Explain the state's role in achieving the objective of social justice in less developed countries.
Citing reasons state the superiority of Progressive tax over regressive tax.
