{"id":66337,"date":"2024-04-20T09:53:56","date_gmt":"2024-04-20T09:53:56","guid":{"rendered":"https:\/\/exam.pscnotes.com\/mcq\/?p=66337"},"modified":"2024-04-20T09:53:56","modified_gmt":"2024-04-20T09:53:56","slug":"a-major-source-of-revenue-for-the-arunachal-pradesh-government-is","status":"publish","type":"post","link":"https:\/\/exam.pscnotes.com\/mcq\/a-major-source-of-revenue-for-the-arunachal-pradesh-government-is\/","title":{"rendered":"A major source of revenue for the Arunachal Pradesh government is:"},"content":{"rendered":"<p>[amp_mcq option1=&#8221;Central government grants and transfers&#8221; option2=&#8221;Income tax&#8221; option3=&#8221;Property tax&#8221; option4=&#8221;Export duties&#8221; correct=&#8221;option1&#8243;]<!--more--><\/p>\n<p>The correct answer is: a) Central government grants and transfers.<\/p>\n<p>Central government grants and transfers are the largest source of revenue for the Arunachal Pradesh government. In 2020-21, these grants and transfers accounted for 64% of the state&#8217;s total revenue. The main types of central government grants and transfers to Arunachal Pradesh are:<\/p>\n<ul>\n<li>Plan grants: These are grants given by the central government to the state government for specific development projects.<\/li>\n<li>Non-plan grants: These are grants given by the central government to the state government for general purposes, such as meeting the state&#8217;s administrative expenses.<\/li>\n<li>Loans: The central government also gives loans to the state government, which are used to finance development projects.<\/li>\n<\/ul>\n<p>The main reason why central government grants and transfers are the largest source of revenue for the Arunachal Pradesh government is that the state has a small economy and a low tax base. The state&#8217;s economy is based on agriculture, forestry, and tourism, and these sectors do not generate much tax revenue. The state&#8217;s tax base is also low because the state has a small population and a high proportion of people living in rural areas.<\/p>\n<p>The central government grants and transfers are important for the Arunachal Pradesh government because they help to finance the state&#8217;s development projects and meet its administrative expenses. The grants and transfers also help to reduce the state&#8217;s fiscal deficit.<\/p>\n<p>The other options are incorrect because they are not the largest source of revenue for the Arunachal Pradesh government.<\/p>\n<ul>\n<li>Income tax is a tax on income earned by individuals and businesses. It is collected by the central government and is not a major source of revenue for the Arunachal Pradesh government.<\/li>\n<li>Property tax is a tax on the value of real estate. It is collected by the state government and is not a major source of revenue for the Arunachal Pradesh government.<\/li>\n<li>Export duties are taxes on goods that are exported from a country. They are collected by the central government and are not a major source of revenue for the Arunachal Pradesh government.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>[amp_mcq option1=&#8221;Central government grants and transfers&#8221; option2=&#8221;Income tax&#8221; option3=&#8221;Property tax&#8221; option4=&#8221;Export duties&#8221; correct=&#8221;option1&#8243;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[974],"tags":[],"class_list":["post-66337","post","type-post","status-publish","format-standard","hentry","category-arunachal-pradesh-state-gk-mcq","no-featured-image-padding"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.2 (Yoast SEO v23.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>A major source of revenue for the Arunachal Pradesh government is:<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/exam.pscnotes.com\/mcq\/a-major-source-of-revenue-for-the-arunachal-pradesh-government-is\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"A major source of revenue for the Arunachal Pradesh government is:\" \/>\n<meta property=\"og:description\" content=\"[amp_mcq option1=&#8221;Central government grants and transfers&#8221; 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