In taxation, the benefit principle requires that?

a

everybody must draw benefit from taxation

b

all those who earn more income must pay more taxes

c

only those who derive benefit from services provided from public revenue should be taxed

d

taxes paid by businesses should be shifted to those consumers benefiting from such consumer commodities

e

everybody pays an equal amount

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Correct Option
c

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Discussions (3)

PuertoSans
9 years ago

The selected answer is wrong:

The correct answer is option C.



The benefits received principle of taxation asserts that people and businesses who receive the benefit of a good or service financed by taxes should pay the tax it requires.



The ability to pay principle is the opposite of the benefits received principle.

REF: https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.reference.com/business-finance/benefits-received-principle-taxation-6aaa1685884a26c8&ved=0ahUKEwjB3bSw7rrTAhWQJVAKHVUeDkAQFggzMAU&usg=AFQjCNEvkZGMtAM8rOIzEbfWOFpOyFJx1g&sig2=OBe-UGbFMQOvQhlKw0dbXQ

OnyedikaVictor
9 years ago

Very wrong. The ans is C.

Myschool Kelly
9 years ago

Correction has been made. Thanks for your contributions.

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