Merits of Direct Tax :
(i) Equity : A direct tax is an equitable tax. Through it the rich can be made to pay more than the poor. A direct tax is equitable in the sense that it is levied according to the taxable capacity of the people.
(ii) Certainty : A direct tax satisfies the canon of certainty. For instance, a person liable to pay income tax knows how much he will be required to pay; for that purpose he can take appropriate steps beforehand.