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Answer» Distinction between Direct tax and Indirect tax. | Direct Taxes | Indirect Taxes | | 1. They are directly paid to the government by the person on whom it is imposed. | 1. They are paid to the government by one person but their burden is borne by another person. | | 2. They are generally progressive. The rate of tax increases with increase In income. | 2. They are generally regressive the rate of tax decrease as Income increases. | | 3. The can’t be shifted on to others. | 3. The can be shifted on to others. |
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