wiz-icon
MyQuestionIcon
MyQuestionIcon
10
You visited us 10 times! Enjoying our articles? Unlock Full Access!
Question

Which of the following advantageous features is common in direct tax and indirect tax?


A

Wide in scope

No worries! We‘ve got your back. Try BYJU‘S free classes today!
B

Certainty

No worries! We‘ve got your back. Try BYJU‘S free classes today!
C

Elasticity

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses
D

Convenient

No worries! We‘ve got your back. Try BYJU‘S free classes today!
Open in App
Solution

The correct option is C

Elasticity


Direct taxes are elastic in nature as the government revenue can be increased by raising the tax rates in times of crisis. Indirect taxes can be made elastic and productive, particularly when they are imposed on essential goods such as edible oils whose demand is inelastic.


flag
Suggest Corrections
thumbs-up
1
Join BYJU'S Learning Program
similar_icon
Related Videos
thumbnail
lock
Tax
MATHEMATICS
Watch in App
Join BYJU'S Learning Program
CrossIcon