Question

Given below are two statements:
Statement I : Corporate tax is an indirect tax which is levied on company's profit. It is imposed on registered companies and corporation.
Statement II : It is calculated on profits before interest and allowance (i.e. capital allowance) have been deducted.
In the light of the above statements, choose the correct answer from the options given below:

• A. Both Statement I and Statement II are true
• B. Both Statement I and Statement II are false
• C. Statement I is true but Statement II is false
• D. Statement I is false but Statement II is true

Answer 1

Answer: (B)

Both Statement I and Statement II are false

Answer 2

The correct option is (B): Both Statement I and Statement II are false.