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Choose the given statement as true/false:
To expand the revenue, the colonial government looked for every possible source of taxation

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a

True

b

False

answer is A.

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Detailed Solution

The given statement is true.
The colonial government started expanding the revenue by imposing taxes in many ways. They imposed taxes on land, water, canal, salt, animals and traded goods. After this grazing tax was imposed, they charged a tax per head of cattle. The right of tax collection was given to the contractor by auction, and the contractor charged a high tax rate and earned a profit. After some time, the government started tax collection directly from pastoralists. They gave a pass to the pastoralists, which was proof of tax being paid by the latter.

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