Principles of taxation - Jamb Economics Past Questions and Answers

Question 16:

• JAMB 1980

Mr.A earns N300 and pays N15 in tax. Mr. B earns N100 and pays N6 in tax. This tax system can be described as?

A. Proportional tax
B. Progressive tax
C. Competitive tax
D. Excise tax
E. Regressive tax

Question 17:

• JAMB 1980

Which of the taxes appear generally progressive in nature?

A. Sales taxes
B. The personal income tax
C. Property taxes
D. Corporation taxes
E. None of the above

Question 18:

• JAMB 1980

Which is the dominant form of tax in Nigeria

A. Direct tax
B. Indirect tax
C. Inheritance tax
D. Personal income tax
E. Value added tax

Question 19:

• JAMB 1980

If the government is interested in raising the highest revenue from a tax system, then for any two commodities

A. It is better to tax one whose demand is more elastic
B. It is better to tax one whose demand is more inelastic
C. Revenue will be the same from both commodities
D. It is not possible to say which will yield higher revenue
E. Government cannot make much revenue from taxing commodities

Question 20:

• JAMB 1981

Indirect taxes are taxes?

A. Which are levied on the incomes and profits of individuals and firms
B. Whose incidence always falls on the consumer
C. Which are based on the progressive principle
D. On casinos, airports and capitals gains
E. Which are levied on people and economic units through the goods and services they purchase