Question

Which of the following is a form of indirect tax?

i.Income tax

ii.Wealth tax

iii.Corporation tax

iv.Sales tax

• A. i only
• B. i and ii only
• C. iii and iv only
• D. iv only

Answer 1

Answer:

D. iv only

Sales tax, excise tax, value-added tax (VAT), and goods and services tax (GST) are examples of indirect taxes that are applied to the sale of goods and services.