Which of the following is true about Val...

Which of the following is true about Value Added Tax (VAT) ?
1. It is a consumption tax levied on value added to the product on every stage of its production.
2. VAT is levied by the Union Government and only a small part goes to State Governments.
3. The income tax on retailers is now decided on the basis of their VAT collection in a year.

Only 1

Only 2

Only 3

All 1, 2 and 3

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The correct Answer is:

A, B, C, D

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