Which of the following is NOT a direct tax in India?

Correct option is C

The correct answer is (C) Excise Tax.

• Excise Tax is an indirect tax levied on the production or manufacture of goods within the country.
• It is collected from the manufacturer but ultimately passed on to the consumer as part of the product's price.

Explanation of Other Options:

• Income Tax : A direct tax imposed on an individual's or entity's income.
• Corporate Tax : A direct tax levied on the profits of corporations.
• Capital Gain Tax : A direct tax applied to the profit earned from the sale of assets like property or stocks.

Key Difference:

• Direct Taxes: Paid directly by the individual or organization to the government (e.g., Income Tax, Corporate Tax).
• Indirect Taxes: Collected by intermediaries (e.g., manufacturers or retailers) and passed on to the government (e.g., GST, Excise Tax).