Taxation is the primary sovereign instrument through which governments raise revenue to finance public expenditures and achieve socioeconomic policy objectives.
This unit examines the core differences between Direct and Indirect Taxes, details the constitutional limitations under Article 265, and defines key terms of the Income Tax Act, 1961.
🔑 Key Learning Areas:
- The difference between taxes and fees, and direct vs. indirect taxes.
- Constitutional provisions: Article 265 and Seventh Schedule legislative powers.
- Key statutory definitions: Assessee, Person, Assessment Year, and Previous Year.