Income tax and property tax are paid straight from citizens to the government. This makes them which type of tax? A. Direct tax
B. Regressive tax
C. Indirect tax
D. Progressive tax
Income tax and property tax are paid straight from citizens to the government. This makes them which type of tax?
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The correct answer is A. Direct tax.
Explanation: Direct taxes are those that are paid directly to the government by the taxpayer. Income tax and property tax are forms of direct tax because they are levied directly on individuals and businesses, and the amount owed is paid to the government without any intermediaries. Indirect taxes, on the other hand, are collected by intermediaries and then remitted to the government (like sales tax).