Advertisements
Advertisements
Question
Which of these taxes is most likely to be progressive?
Options
Entertainment tax
Goods and services tax
Property tax
Custom duty
MCQ
Advertisements
Solution
Property tax
Explanation:
- Property tax is expected to be progressive. Progressive taxes are those in which the tax rate rises as the taxable amount increases.
- Property taxes are frequently called progressive because they are typically dependent on the value of the property held.
- Individuals with more valued properties (which frequently signify greater income) pay higher taxes, making it progressive in nature.
shaalaa.com
Role of State in Economic Development
Is there an error in this question or solution?
APPEARS IN
RELATED QUESTIONS
Instrument of monetary policy is:
Which of the statement is true for income tax?
Define fiscal policy.
An indirect tax is not always equitable. Give two reasons to support your answer.
To which tax is this shifting of tax burden relevant?
Classify the following types of tax into direct and indirect taxes:
- Entertainment tax
- Income tax
- House tax
- Sales tax
Briefly explain why direct taxes foster civic consciousness among people.
Give two reasons why the government imposes tax?
Discuss four fiscal policy objectives with reference to India.
Give two examples of direct taxes.
