7th Std Social Science Term 3 Solution | Lesson.10 Tax and its Importance

7th Std Social Science Term 3 Solution | Lesson.10 Tax and its Importance

I. Choose the correct answer

1. Taxes are ______ payment.

1. Voluntary
2. Compulsory
3. a & b
4. None of the above

Ans : Compulsory

2. Minimum possible amount should be spent in the collection of taxes is

1. canon of equality
2. canon of certainity
3. canon of economy
4. canon of convenience

Ans : canon of economy

3. This taxation is a very opposite of progressive taxation.

1. degressive
2. proportional
3. regressive
4. none

Ans : regressive

4. Income tax is a

1. direct tax
2. indirect tax
3. a & b
4. degressive tax

Ans : direct tax

5. Which tax is raised on provision of service.

1. wealth
2. corporate
3. wealth
4. service

Ans : service

II. Fill in the Blanks.

1. _______ is a term for when a taxing authority usually a government levies or imposes a tax.

Ans : Taxation

2. _______ is the method, where the rate of tax is same regardless size of the income

Ans : Proportional Taxation

3. _______ is paid to the Government by the recipient of gift depending on value of gift.

Ans : Gift tax

4. _______ tax burden cannot be shifted by tax payers.

Ans : Direct

5. Indirect tax is ______ elastic.

Ans : more

III. Match the following

1. Principle of taxation	Direct Tax
2. Estate tax	Goods and Service Tax
3. Excise Tax	Adam Smith
4. 01.07.2017	Less elastic
5. Direct Tax	Indirect Tax
Ans : 1 – C, 2 – A, 3 – E 4 – B, 5 – D

IV. Odd one out:

1. Which one of the following is not a indirect tax?

1. Service tax
2. Value Added Tax (VAT)
3. Estate duty
4. Excise duty

Ans : Estate duty

V. Correct one out 

1. Which one of the following tax is a direct tax?

1. Service tax
2. Wealth tax
3. Sales tax
4. Progressive tax

Ans : Wealth tax