Question

Difference between direct and indirect taxes.

Answer 1

a direct tax is paid directly by the individual on which it is levied. The taxpayer pays the tax directly to the government for different services like :real property taxes,income taxes. etc,

An indirect tax ,on the other hand, is the tax levied on goods and services.There is no role play of on whom the tax is levied.It is ultimately paid by the individual or the consumer, usually in the form of high prices.