MANAGEMENT

Detailed explanation-1: -Usually, the taxpayer will choose the filing status that results in the lowest tax. Determines the rate at which income is taxed. The five filing statuses are: single, married filing jointly, married filing separately, head of household, and qualifying widow(er) with dependent child.

Detailed explanation-2: -Relative price elasticity of demand and supply is the factor determining the incidence of taxation.

Detailed explanation-3: -Income Tax at a flat rate of 30% is levied on Partnership Firms and LLP’s. Computation of taxes as per Income Tax Slab Rates is not allowed as the benefit of Slab Rates is only available to Individuals and HUF’s.

Detailed explanation-4: -income tax, levy imposed on individuals (or family units) and corporations. Individual income tax is computed on the basis of income received.