Q. Regarding the taxation system of Krishna Deva, the ruler of Vijayanagar, consider the following statements:
1. The tax rate on land was fixed depending on the quality of the land.
2. Private owners of workshops paid an industries tax.
Which of the statements given above is/are correct? 
Answer: C
Notes:
Vijayanagara rulers followed an oppressive taxation policy. The prosperity of the empire can be explained through their taxation principles in the following lines. They collected variety of taxes ranging on the nature of lands. The villages were classified into eight types for tax purpose.
They were: 1)The brahmadeya villages 2) The devadana villages 3) The mathapura villages 4) The sarvamanya villages 5) The kodagi lands 6) Rakta-kodagal lands 7) Guttagi lands 8) The rest of the villages or lands.
The first four types prevailed prior to the Vijayanagar times. Private owners also paid industries taxes. Merchant guilds were empowered to levy taxes on goods manufactured, sold or transported
Source: CSP 2016
