Mention the types of income tax.

Types of income tax:

1. Direct tax: The tax collected by the government on the economic transaction of a person or his/ her stable property is called direct tax. Income tax, salary tax, Vehicle tax, property and housing tax, etc are its examples.
2. Indirect tax: The tax that is collected from one person or firm but it is paid by another person is called indirect tax. For example: Hotels, Restaurants, etc charge the tax from their customers and then they pay it to the government which is known as indirect tax.
3. Non-tax revenue: The income gained from other sectors not from the tax is called non-tax revenue. Foreign grants, gift, fines and penalties, property without decedents, etc are its example.