Consider the following taxes: I. Corporation tax II. Customs duty III. Wealth tax IV. Excise duty Which of these is/are indirect taxes?

The correct answer is B because indirect taxes are those where the burden of payment can be shifted from the taxpayer to the final consumer.

Customs duty and Excise duty are indirect taxes. Customs duty is levied on goods imported into or exported out of the country, while Excise duty is levied on the manufacture of goods within the country. In both cases, the manufacturer or importer pays the tax to the government but recovers it from the buyer by adding it to the price of the product.

Corporation tax and Wealth tax are direct taxes. Corporation tax is paid directly by companies on their profits, and Wealth tax was paid by individuals on their personal assets. In direct taxes, the person who pays the tax to the government also bears the final economic burden, meaning the tax cannot be shifted to others.