direct tax

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Related to Direct taxes: Indirect taxes

Direct Tax

A tax that cannot be shifted to another person or entity. For example, taxes on income or assets are direct taxes, as the person or organization on whom they are levied must pay them directly. Direct taxes differ from indirect taxes, such as sales tax, which is levied on a seller but is paid by buyers. There is disagreement as to whether a corporate tax is a direct tax or indirect tax.

direct tax

A tax paid by the individual or organization on which it is levied. For example, the personal income tax is levied on individuals, who end up bearing the entire burden of the tax. A direct tax cannot be shifted from the entity on which it is levied. Compare indirect tax.

direct tax

a TAX imposed by the government on the income and wealth of persons and businesses in order to raise revenue, redistribute income and wealth, and as an instrument of FISCAL POLICY in managing the economy. The main forms of direct tax in the UK are INCOME TAX, CORPORATION TAX, NATIONAL INSURANCE CONTRIBUTIONS and INHERITANCE TAX. See BUDGET (GOVERNMENT).

direct tax

a TAX levied by the government on the income and wealth received by individuals (households) and businesses in order to raise revenue and as an instrument of FISCAL POLICY. Examples of a direct tax are INCOME TAX, NATIONAL INSURANCE CONTRIBUTIONS, CORPORATION TAX and WEALTH TAX.

Direct taxes are incurred on income received, unlike indirect taxes, such as value-added taxes, that are incurred when income is spent Direct taxes are progressive, insofar as the amount paid varies according to the income and wealth of the taxpayer. By contrast, INDIRECT TAX is regressive, insofar as the same amount is paid by each tax-paying consumer regardless of his or her income. See TAXATION, PROGRESSIVE TAXATION, REGRESSIVE TAXATION.

References in periodicals archive ?
1863-65) (reproducing the response from the Senators, stating "those who are elected to serve in the next Congress are strongly opposed in principle, to levying direct taxes, or land taxes").
85) And in 1789 the brand new House of Representatives considered a constitutional amendment that similarly would have provided that direct taxes could be levied only "where the moneys arising from the duties, imposts, and excise, are insufficient for the public exigencies, nor then until Congress shall have made a requisition upon the States to assess, levy, and pay their respective proportions of such requisitions.
It is necessary to increase the weight of indirect taxes by reducing the burden of direct taxes,'' Shiokawa told a regular news conference.
5 ( ANI ): Responding to frequent queries regarding taxation of long-term capital gains as proposed in the Finance Bill, 2018, the Central Board of Direct Taxes (CBDT) on Sunday gave answers in the form of Frequently Asked Questions or FAQs.
The new DTC aims at radical reforms of direct taxes and simplification of the tax structure.
Direct taxes, which include corporate tax, personal income tax and wealth tax, fetched the exchequer Rs 2.
As per data released by the Central Board of Direct Taxes (CBDT), an amount of Rs.
FINANCE minister Pranab Mukherjee assured India Inc on Friday that the government would relook at some of the proposals in the new direct taxes code, including the imposition of the minimum alternate tax ( MAT) on gross assets of companies and tax on savings schemes.
Summary: New Delhi [India], Dec 31 (ANI): The Election Commission of India on Sunday directed the Central Board of Direct Taxes (CBDT) to re-evaluate Uttarakhand Chief Minister Trivendra Singh Rawat's immovable assets, which were declared by him in the nomination papers for the state legislative assembly elections.
83,309 million were collected as direct taxes whereas Rs.
In a statement released by the Central Board of Direct Taxes (CBDT) on Saturday, the provisional figures of direct tax collected for the aforementioned time period are at Rs.
In addition the direct taxes will be increased from 20 to 40 percent.