Which of the following is/are correct regarding the proposed Direct Tax Code?

1. Corporate Tax will remain at 30 percent, but without surcharge and cess.
2. MAT will be 20 percent of book profit.
3. Once enacted, the DTC will completely replace the archaic Income Tax Act, 1961.

Which of the following taxes are levied by the State Government?

1. Value Added Tax (VAT)
2. Stamp Duty
3. Land Revenue
4. Profession Tax

Which of the given statements is/are incorrect?

1. Sales Tax, Excise Duties, Customs Duties, etc. are major indirect taxes in India.
2. Generally, the Government of India earns the maximum from Union Custom Duty.

Under how many heads does the Income Tax Act of 1961 impose tax on income?

Which of the following statements is/are correct?

1. The fringe benefit tax (FBT) was imposed on employers by India's Finance Act, 2005.
2. The fringe benefit tax was abolished in the 2009 Union budget of India by the then Finance Minister Pranab Mukherjee.
3. According to the new proposed Direct Tax Code (DTC), fringe benefit tax will be charged to the employee rather than the employer.

Which of the following statements are true?

1. Excise duty is a tax on the sale, or production for sale, of goods produced within the country.
2. Excise duty is an indirect tax.
3. This tax is now known as the Central Value Added Tax (CENVAT).
4. Central excise revenue is the biggest single source of revenue for the Government of India.

Identify the correct statement(s):

1. Customs duties include both import and export duties.
2. Export duties contribute only nominal revenue to the Government.
3. In India, customs duty is imposed on goods belonging to the Government as well as goods not belonging to the Government.

Which of the given statements is/are true?

1. Service tax is a part of Central Excise in India.
2. It is a tax levied on services provided in whole of India.
3. The responsibility of collecting the tax directly lies with the Central Board of Indirect Taxes.

Which of the following statements is/are incorrect?

1. The Central Board of Direct Taxes (CBDT) is a part of the Department of Revenue in the Ministry of Finance, Government of India.
2. It is India's official Financial Action Task Force unit.
   

Which of the following statements is/are correct regarding the Goods and Services Tax (GST)?

1. The states and the federal government will impose the GST on almost all goods and services produced in India or imported.
2. Exports will not attract GST.
3. Goods like crude oil, diesel, petrol and alcohol are exempted from the ambit of GST.

According to the distribution of taxes in the Constitution of India, some taxes are levied, collected and retained by the Centre. Which of the following does not come under this list?

In India, the local government bodies are empowered to levy

1. tax on properties
2. octroi
3. tax for utilities like water supply, drainage, etc.
4. land revenue

Which of the following statements is/are true?

1. The Financial Action Task Force (on Money Laundering) (FATF) is an intergovernmental organization founded in 1989 on the initiative of the G7.
2. The purpose of the FATF is to develop policies to combat money laundering and terrorism financing.
3. The FATF Secretariat is housed at Geneva.

With the implementation of the Direct Tax Code, which of the following categories of income (earlier exempted) will lose tax benefits?

1. Equity Mutual Funds (ELSS)
2. Term deposits and NSC (National Savings certificates)
3. Unit Linked Insurance Plans (ULIPs)
4. Long term infrastructure bonds

Directions: The following question consists of two statements, one labelled as 'Assertion (A)' and the other labelled as 'Reason (R)'. You are to examine these two statements carefully and decide if the Assertion and the Reason are individually true and if so, whether the Reason is the correct explanation of the Assertion. Select your answer to this question using the codes given below.

Assertion (A): During the last two decades, there has been a continuous reduction in the tax rates. Reasoning (R): High rates of income tax had merely encouraged tax evasion and growth in black money.