Direct taxes are paid by individuals/businesses (e.g., income tax); indirect taxes are levied on goods/services (e.g., GST).
This infographic explains the differences between direct and indirect taxes in India. Direct taxes include income and corporate tax, paid directly to the government. Indirect taxes like GST are collected on goods and services, passed to consumers. Direct taxes are progressive, while indirect taxes affect all consumers. Administration and compliance differ for each type.