Concept:Direct taxes are levied directly on the income, profit, or wealth of an individual or firm, and the burden cannot be shifted to someone else.
Explanation:A direct tax is paid by the same person on whom it is imposed.
Common examples include income tax, corporate tax, wealth tax, and capital gains tax.
Capital gains tax is charged on the profit earned from selling an asset, such as property or shares.
It is a direct tax because the person who earns the gain pays the tax directly to the government.
Excise duty, ad valorem tax, and specific tax are all indirect taxes because they are imposed on goods and services, not on income or wealth.
Therefore, among the given options, capital gain tax is the correct example of a direct tax.
Answer:D. capital gain tax.