M.A. (Economics) (Semester IV) (CBCS) Examination, 2017
TAX AND TAX CONSULTANCY
Day Date: Friday, 28-04-2017 Max. Marks: 70
Time: 02.30 PM to 05.00 PM
N.B. All questions are compulsory.
Figures to the right indicate full marks.
Q.1 Choose the correct alternatives 14
is based on the principle of 'higher the income, higher
the tax'.
Progressive Tax Proportion Tax
Regressive Tax Digressive Tax
In India service tax was introduced in
1991-92 1994-95 1999-2000 2005-60
After levying 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
Which of the following is administrative non-tax revenue?
Fees Gifts
Grants Profits of Government enterprises
The term incidence of taxation refers to
Initial burden of the tax Final burden of the tax
Burden of tax on government None of the above
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
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
On what broad aspect of commodities are indirect taxes

Production Sales
Movement All the above
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10) Find the incorrect statement.
In the short period, shifting of a tax is easy.
In the long period shifting of a tax is easy.
When supply is elastic, shifting is easy.
None of the above.
11) Specific duty is charged according to
Value of a commodity Weight of the commodity
Size of the commodity None of the above
12) The ultimate burden of taxation on producer
Inelastic Supply and Elastic Demand
Elastic Supply and Demand
Inelastic Supply and Demand
Elastic Supply and Inelastic Demand
13) An increase in the direct tax means it is
Inflationary Anti-inflationary
Having no impact on price None of the above
14) An example of direct tax is
Sales tax Central excise duty
Custom duty Wealth tax
Q.2 Write short note Any 4 12
Tax
Capital Gain Tax
VAT
Proportional Tax
Impact of Tax
Q.3 Write short Answer: Any 4 16
What is Progressive tax?
What is Gift tax?
What is E-Filling of tax?
Explain the Forward shifting of tax
Explain in brief indirect tax?
Q.4 Write answer: Any 2 14
Discuss the Tax administration in India.
Explain the benefit principle of taxation.
Explain the procedure of Budget.
Q.5 Explain the cannons of taxation. 14
OR
Discuss the meaning, nature scope of tax consultancy.