Which of the following taxes is levied by the Union Government but collected and appropriated by the State Governments as per Article 268 of the Indian Constitution?

💡 Solution & Explanation

Article 268 of the Constitution specifies that stamp duties and duties of excise on medicinal and toilet preparations are levied by the Union Government but are collected and retained by the respective State Governments within whose geographical limits they are leviable. Unlike GST, which is governed under Article 279A, these specific duties remain assigned entirely to the states.