Distinguish between direct taxes and indirect taxes. Give an example of each.

Direct tax is the tax which is directly imposed on the individuals and company are paid directly by them to the government, like Income Tax, property tax, wealth tax.

Indirect tax is the tax which is imposed upon individuals but indirectly like GST it is charged from the sellers and suppliers, which is added to the cost of the goods and services and is indirectly paid from the pocket of the consumer.