Official Answer Key & Detailed Solution
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Correct Answer: Option (B) — 2 only
Concept & Option Breakdown
Standard Reference VerifiedStatement 1 is incorrect: Under the Ryotwari system, land revenue was fixed at very high rates and collected rigidly in cash regardless of seasonal variations, poor harvest, or natural calamities; peasants received no systematic exemptions. Statement 2 is correct: Under the Permanent Settlement and the associated 'Sunset Law', if a zamindar failed to deposit the fixed revenue by sunset of the specified date, their zamindari rights were liable to be seized and auctioned off by the colonial administration.
Colonial revenue systems existed to maximize British exchequer extraction. Broad institutional exemptions for peasants during droughts contradict the core extractive logic of colonial taxation.
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