Q1. A progressive tax is a tax:
a) Whose burden on tax payers rises as income falls
b) Whose burden on tax payers rises as income rises
c) Whose burden on the falls as income rises
d) None of these
Q2. Which one of the following is not an Indirect tax?
a) Excise duty
b) Custom duty
c) Service tax
d) Wealth tax
Q3. Which among the following is/are the main items of non-plan revenue expenditure?
1. Interest payments
2. Defenses services
4. Salaries and Pensions
a) 1 and 2 only
b) 2 and 3 only
c) 2, 3, and 4 only
d) All of the above
Q4. What do you understand by Primary Deficit?
a) Excess of total expenditure over total receipts
b) Excess of revenue expenditure over revenue receipts
c) Excess of total expenditure over total receipts less borrowing
d) Excess of total expenditure over total receipts less borrowing and interest payments
Q5. Which one of the following is not levied as well as collected by the Union, but assigned to the states within which they leviable?
a) Taxes on railways fares and freights
b) Taxes on lands and buildings, mineral rights
c) taxes on stock exchange other than stamp duties
d) terminal taxes on passengers carried by railways
Q6. Which article of the Indian constitution deals with the Finance Commission?
Q7. Who is the chairman of the first Finance Commission constituted in 1951?
a) K.C. Neogi
b) K. Santhanam
c) A.C. Chanda
d) P.V. Rajamannar
Q8. The difference between the government’s total expenditure and its total receipts, excluding borrowing is termed as:
a) Budget deficit
b) Revenue deficit
c) Fiscal deficit
d) Primary deficit
Q9. A kind of Indirect tax which is expressed as proportion of theprice of a commodity is called:
a) Indirect tax
b) Multiple tax
c) Direct tax
c) Ad valorem tax
Q10. In which year the government of India introduced the Minimum Alternate Tax?