Which of the following is an Indirect Tax in India?

The correct answer is Goods and Services Tax.

Key Points

• The Goods and Services Tax (GST) is a tax on goods and services.
• It is an indirect tax that was implemented to replace a variety of other indirect taxes such as VAT, service tax, purchase tax, excise duty, and so on.
• GST is a tax applied in India on the supply of certain goods and services.
• GST is a multi-stage, all-encompassing tax system that applies to the sale of goods and services.
• The fundamental goal of this taxing scheme, which is applicable throughout India, is to reduce the cascading effect of other indirect taxes.​

Important Points

• The tax on the consumption of goods and services is known as indirect tax. It isn't based on a person's earnings. Instead, he or she must pay the tax in addition to the cost of the products or services purchased from the seller.
• Corporation tax is a direct tax levied on corporations' net revenue or profit.
• An income tax is a type of tax that is levied on individuals or businesses based on their earnings or profits.
• If most investments are kept for at least one year, capital gains taxes must be paid on the earnings from their sale.