M.A. (Semester IV) (CBCS) Examination Oct/Nov-2017
Economics
TAX AND TAX CONSULTANCY
Day Date: Monday, 27-11-2017 Max. Marks: 70
Time: 02:30 PM to 05.00 PM
Instructions: All questions are compulsory.
Right side digit indicates marks.
Q.1 Choose the correct option. 14
The following is not a characteristic of a tax.
It is a compulsory payment
Every tax involves a sacrifice by tax payer
There is a quid-pro-quo between the tax payer and the Government
Refusal to pay tax is a punishable offence
In India service tax was introduced in
1991-92 1994-95
1999-2000 2005-06
Which of the following is not an indirect tax?
Sales tax Custom duty
Excise duty Gift tax
An example of direct tax is
Sales tax Central excise duty
Custom duty Wealth tax
based on the principle 'higher the income, higher the tax'.
Progressive Tax Proportion Tax
Regressive Tax Digressive Tax
A good tax system should ensure
Maximum social welfare Minimum social welfare
Capital formation Growth of exports
Pick out the factor which is not a demerit of indirect taxes.
Unjust to poor Inflationary in nature
A tool of economic policy High administrative cost
Indirect taxes have a effect on the society.
Progressive Equitable
Justified Regressive
Specific duty is charged according to
Value of a commodity Weight of the commodity
Size of the commodity None of the above
10) Which factor has no role in the shifting of a tax?
Change in prices Elasticity of demand and supply
Nature of Demand Income of the consumer
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11) The ultimate burden of taxation on producer implies
Inelastic Supply and Elastic Demand
Elastic Supply and Demand
Inelastic Supply and Demand
Elastic Supply and Inelastic Demand
12) The objective of taxation by the Government is
Rising revenue for the state
To maintain economic stability
To remove disparities in the distribution of income
All of the above
13) The term impact of taxation means
Initial burden of the tax Ultimate burden of the tax
Burden of tax on government None of the above
14) After levying of a tax, if the price does not rise at all, it means that
Incidence of the tax remains with producer
Tax has been shifted backward
Shifting has taken place
Any of the above
Q.2 Write short note. (Any Four) 12
Regressive tax
E-Filling
Income tax
Capital Gain tax
VAT
Q.3 Write short answer. (Any Four) 16
What is Budget?
What is Progressive tax?
What is forward shifting of tax?
Explain the direct taxes in India?
What is Gift tax?
Q.4 Attempt any Two questions: 14
Discuss the benefit principle of taxation.
Explain the Cannons of taxation.
Discuss the Tax Administration in India.
Q.5 What is Tax Consultancy? Explain the nature and scope of tax consultancy. 14
OR
What are revenue sources of central government?