ICT CORNER Step3 Step2 Step1 DIRECT AND INDIRECT TAXES: GST CALCULATOR *Images are indicative only Commerce - - . . PM . Meaning of Indirect Tax Indirect Tax is levied on the goods and services.
It is collected from the buyers by the sellers and paid by the sellers to the Government. Since it is indirectly imposed on the buyers it iscalled indirect tax. e.g. GST - Goods and Services Tax, Excise duty.
The following picture clearly explains the direct tax and indirect tax concepts.