Q. From which year onwards was Income Tax permanently imposed in India?
(a) 1863
(b) 1860
(c) 1876
(d) 1888
Ans: (b) 1860
Explanation: To fill the treasury, the first Income-tax Act was introduced in February 1860 by Sir James Wilson (British India’s first finance minister). The act received the assent of the governor-general on 24 July 1860, and came into effect immediately. It was divided into 21 parts, with 259 sections.
