Question : Which of the following sets of taxes belongs to the Central Government?
Option 1: Excise duty, sales tax and custom duty
Option 2: Income tax, custom duty and house tax
Option 3: Excise duty, custom duty and income tax
Option 4: Custom duty, entertainment tax, and income tax
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Correct Answer: Excise duty, custom duty and income tax
Solution : The correct answer is excise duty, custom duty and income tax .
The Central Government of India collects excise duty, customs duty and income tax. Excise tax is paid on items manufactured or sold within India, whereas custom duty is levied on goods imported in India. Individuals and corporations must pay income tax on their earnings. In 2017, India implemented the Goods and Services Tax (GST), which replaced all national and state taxes on goods and services.
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