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what is the difference between direct tax and indirect tax
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Answer Posted / megha rakshe
A direct tax is one paid directly to the government by the
persons (juristic or natural) on whom it is imposed (often
accompanied by a tax return filed by the taxpayer). Examples
include some income taxes, some corporate taxes, and
transfer taxes such as estate (inheritance) tax and gift tax.
An indirect tax (such as sales tax, value added tax (VAT),
or goods and services tax (GST)) is a tax collected by an
intermediary (such as a retail store) from the person who
bears the ultimate economic burden of the tax (such as the
customer)
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