Question

Which of these is not a Direct Tax item?

• A. Customs Duty
• B. Income Tax
• C. Wealth Tax
• D. All of the above

Answer 1

The correct option is A Customs Duty

Customs Duty :

Customs duty is a form of indirect tax which is imposed at the time of both import and export of goods and services.

Income Tax :

Income Tax is a tax you pay directly to the government basis your income or profit.

Wealth Tax :

It is a Direct Tax. The Wealth Tax is taxation related to the net wealth of an individual or a company.

Wealth tax is imposed on the richer section of the society. The intention of doing so is to bring parity among-st the taxpayers.

$\therefore$ Customs Duty is not a Direct tax.