GkSeries.com

Indian Public Finance Questions and Answers | Public Finance MCQs

(1) This is NOT a principle of taxation:
[A] Principle of equality
[B] Principle of certainty
[C] Principle of secrecy
[D] Principle of economy
Answer: Principle of secrecy
(2) This is principle of taxation
[A] Principle of honesty
[B] Principle of morality
[C] Principle of secrecy
[D] Principle of economy
Answer: Principle of economy

DOWNLOAD CURRENT AFFAIRS PDF FROM APP

(3) In Pakistan, the authority to levy taxes lies with:
[A] Prime minister of Pakistan
[B] President of Pakistan
[C] Federal cabinet of ministers
[D] National assembly
Answer: National assembly
(4) This tax is a good example of ability to pay principle of taxes:
[A] Excise tax on cigarettes
[B] Highway toll tax
[C] Proportional sales tax
[D] Personal income tax
Answer: Personal income tax
(5) Govt. taxing and spending policies are called:
[A] Monetary policy
[B] Fiscal policy
[C] Commercial policy
[D] Finance policy
Answer: Fiscal policy
(6) Govt. budget is balanced when:

[A] Govt. expenditure is kept to the minimum
[B] Govt. income consists of both tax and non-tax income
[C] Government expenditure equals tax revenue
[D] None of the above
Answer: Government expenditure equals tax revenue
(7) Government finance is called:
[A] National finance
[B] Public finance
[C] Official finance
[D] (a) & (b) of above.
Answer: Public finance
(8) The government can meet its expenditure:
[A] By taxing people
[B] By printing new money
[C] By borrowing from banks and foreign countries
[D] By all the three methods
Answer: By all the three methods
(9) It is direct tax:
[A] Property tax
[B] Income tax
[C] Import tax
[D] All are indirect taxes
Answer: Import tax
(10) Mansoor Software Co imported computers and paid import tax. Burden of tax will be on:
[A] Importere
[B] Wholesaler
[C] Last buyer
[D] Retailer
Answer: Last buyer

Please share this page

Click Here to Read more questions

Teacher Eligibility Test