Q:. What is Black Money ?
Black Money is the unaccounted money concealed from the tax authorities. The black money runs a parallel economy adversely affecting the distribution of wealth & income in the economy. The total amount of black money globally is estimated between $2.1 and 2.5 trillion. This is roughly about seven percent of the world’s GDP.
Q. What is a Black Market?
A black market is an illegal market, in which something is bought and sold outside of official government-sanctioned channels. Black markets tend to arise when a government tries to fix a price without itself providing all of the necessary supply or demand. Black markets in foreign exchange almost always exist when there are exchange controlsQ:What is a direct Tax?
A direct tax is that which is paid directly by someone to taxing authority. Income tax
and property tax are examples of direct tax. They are not shifted to somebody else.
Q. What is an Indirect Tax?
This type of tax is not paid by someone directly to the authorities and it is actually passed on to the other in the form of increased cost. They are levied on goods and services produced or purchased. Excise tax, Sales tax, VAT are indirect taxes.
Q:What is CRR Rate in India?
Cash reserve Ratio (CRR) is the amount of funds that the banks have to keep with RBI. If RBI decides to increase the percent of this, the available amount with the banks comes down. RBI is using this method (increase of CRR rate), to drain out the excessive money from the banks
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