What is the Classification of Taxes in Union Budget?
Classification of Taxes in Union Budget
- Direct Tax: Direct Tax that is paid directly by an individual or organization to the imposing entity.
- Indirect Tax: Indirect taxes are the charges that are levied on goods and services.
There are 5 types of direct taxes in these year union budget.
- Income Tax
- Corporate Tax
- STT (Securities Transaction Tax)
- FBT (Fringes Benefit Tax) - Phased out in March 2010.
- BCTT (Banking Cash Transaction Tax) - Phased out in March 2010.
- CTT (Commodities Market Transaction Tax)
* NASDAQ- National Association for Securities Dealer and Automated Quotations.
* NCDEX- National Commodities Derivative Exchange.
*GST- Goods and Service Tax [It is going to be implemented by April 1st 2011]
This tax will replace central excise duty and service tax from April 1, 2011.
1. Central Excise Duty
2. Custom Duty
3. Service Tax
The biggest source of income for GOI is corporate tax.
Fiscal Deficit - This is overall resources gap of the union budget.