(QUIZ) Economy MCQs : Taxation System in India: Concepts and Policies

1. Consider the following statements.

1. Constitution Amendment 115 is related to GST.
2. Octroi is a main source of Income for most of the local bodies in India.

Which of the above statements is / are true.

1. 1 & 2
2. 1 only
3. 2 only
4. Neither 1 nor 2

2. Consider the following statements about Goods & Services tax (GST) proposed:

1. Union Finance Minister would be the chairperson of GST council.
2. Most of the Indian states are opposing GST.

Which of the above statements is / are true.

1. 1 only
2. Both 1 and 2
3. 2 only
4. Neither 1 nor 2

3. Consider the following statements about GST dispute settlement Authority.

1. The Dispute settlement Authority (DSA) shall consist three members.
2. The DSA chairperson will appoint by the President after the recommendation by the CJI.
3. Only the Supreme Court shall exercise Jurisdiction over such adjudication or dispute.

Which of the above statements is / are true.

1. 1 & 2
2. 2 & 3
3. 1, 2 & 3
4. 1 & 3

4. Consider the following statements.

1. Subsidy is a negative income tax.
2. Pigovian tax is imposed on bodies that have a negative externality.
3. Relation between tax rates & tax revenue collected by governments shows by Laffer curve.

Which of the above statements is / are true.

1. 1, 2 & 3
2. 1 & 3 only
3. 1 & 2 only
4. 2 & 3 only

5. Consider the following statements about DTC Bill 2010.

1. The Bill will replace the Income Tax Act 1961 & the Wealth Tax Act 1957.
2. Companies will be taxed at 35% of business income.
3. Non profit organisations are taxed at 25%.
4. The wealth tax exemption limit is increased from 15 lack to 1 crore.

Which of the above statements is / are true.

1. 1, 2, 3 & 4
2. 1 & 4 only
3. 2 & 3 only
4. 1 & 3 only

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