Consider the following statements with respect to taxation in India:
- Sales Tax / VAT on commodities sold within a state is in the exclusive jurisdiction of the State Government
- Customs duties are levied and collected by the Union but distributed between Union and States
Which of the above is / are correct statements?
Both statements are correct in this question. Regarding second statement, we note that the divisible pool now includes corporate taxes and customs duties.
This question is a part of GKToday's Integrated IAS General Studies Module