SSC Selection Post 2022 PYQ — Question 47

The correct answer is Option 3 i.e. Corporation Tax.

Corporation Tax is NOT an indirect tax. It is a direct tax.A direct tax is levied directly on the income or wealth of individuals or corporations, and the burden of the tax cannot be shifted to another person or entity. Corporation Tax is imposed on the profits earned by companies, meaning the company itself bears the financial burden directly. In contrast, indirect taxes (like GST or VAT) are levied on goods and services, and their burden can be passed on to the consumer in the form of higher prices.