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The sales tax you pay while purchasing a toothpaste is a

Atax imposed by the Central Government
Btax imposed by the Central Government but collected by the State Government
Ctax imposed by the State Government but collected by the Central Government
Dtax imposed and collected by the State Government
Answer & Solution
Correct answer: D. tax imposed and collected by the State Government
UPSC CSE Prelims 2014 (GS-I, Set A), Q.27. Official answer key: D.
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