Economics · Taxation
Which one of the following is NOT a correct feature of 'Value Added Tax' (VAT)?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1It is a subject exclusively under the Central Government, and State Governments are only facilitators.✓
- 2It is a tax on the final consumption of goods or services and must ultimately be borne by the consumer.
- 3It is a tax levied on value addition at each stage of transaction in the production-distribution chain.
- 4It is a multi-point destination-based system of taxation.
Correct answer
It is a subject exclusively under the Central Government, and State Governments are only facilitators.
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