ECONOMICS
FEDERAL RESERVE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Sales tax
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Social Security Tax
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Income Tax
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Estate Tax
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Detailed explanation-1: -DIRECT TAX–Direct taxes are taxes imposed on income, capital gains and net worth.
Detailed explanation-2: -TDS is tax deducted at source. Your employer deducts a portion of your salary every month and pays it to the income tax department on your behalf.
Detailed explanation-3: -The ‘on-money’ evidently being business receipts can it be assessed as ‘income from other sources’. If ‘on-money’ is business receipts then will the method of accounting determine its accrual as income as per past practices.
Detailed explanation-4: -Tax levied directly on the income earned is called as direct tax, for example Income tax is a direct tax. The tax calculation is based on the income slab rates applicable during that financial year.
Detailed explanation-5: -Corporate Tax: The income tax paid by a company is defined as the corporate tax. It is based on the different slabs that the revenue falls under. The sub-categories of corporate taxes are as follows: Dividend Distribution Tax (DDT): This tax is levied on the dividends that companies pay to the investors.