SSC CPO 2023 PYQ — Question 62

The correct answer is option 3 i.e. Goods and services tax.

Goods and Services Tax (GST) is an example of an indirect tax. Unlike direct taxes, which are paid directly by individuals or entities to the government (like income tax or capital gains tax), indirect taxes are collected by intermediaries (such as retailers) and passed on to the government. GST is levied on the sale of goods and services and is included in the price paid by consumers. This tax structure allows for widespread collection through commercial transactions.