Write the difference between tax and duty.

Banking & FinanceManagementCompanies/Organisations

The major differences between tax and duty are as follows −

TaxDuty
  • It is the compulsory amount paid to the government.

  • It is charged on income, wealth, service, sales etc.

  • Direct tax and indirect tax are types of taxes.

  • Wide scope.

  • Central/state governments will impose tax.

  • It is an amount charged by government on imports/exports and manufacture of goods.

  • It is charged on goods and financial transactions.

  • Custom duty and excise duty are types of duty.

  • Narrow scope.

  • Central government will impose duty.

raja
Published on 25-Jul-2020 10:28:29
Advertisements