As per the distribution of financial resources under the Government of India Act of 1935, which among the following taxes are levied by the Union but collected and appropriated by the States?1. Stamp duties on Bills of exchange2. Insurance policies3. Transfer of sharesChoose the correct option from the codes given below:

• A. 2 only
• B. 1, 2 & 3
• C. 1 & 2
• D. 1 & 3

Answer: (B)

As per the distribution of financial resources under the Government of India Act of 1935, the taxes which are levied by the Union but collected and appropriated by the States are Stamp duties on Bills of exchange, Transfer of shares, Insurance policies.