Question

Why Indian government apply taxes?

Answer 1

Answer:

Government benefits

• List of qualifying investments under Section 80C Tax Savings*
• Employee Provident Fund (EPF) & Voluntary Provident Fund (VPF)
• Public Provident Fund (PPF)
• Life Insurance Premiums.
• Any premium you pay towards life insurance policies for you own self, your spouse or your children, qualifies for tax savings.

Answer 2

Answer:

The Central Government of India levies taxes such as customs duty,income tax, service tax, and central excise duty. The taxation system in India empowers the state governments to levy income tax on agricultural income, professional tax, value added tax (VAT), state excise duty, land revenue and stamp duty.