Asked by
Noelle Elliott
on Oct 13, 2024
Verified
The essential difference between sales and excise taxes is that
A) sales taxes apply to a wide range of products,while excise taxes apply only to a select group of products.
B) excise taxes apply to a wide range of products,while sales taxes apply only to a select group of products.
C) sales taxes are consumption taxes,while excise are not.
D) excise taxes are consumption taxes,while sales are not.
Sales Taxes
Taxes imposed on the sale of goods and services, typically calculated as a percentage of the purchase price, paid by the consumer at the point of sale.
Excise Taxes
Taxes paid when purchases are made on a specific good, such as gasoline or tobacco, often included in the price of the product.
- Grasp the framework and implications of various taxation types, including corporate income tax, excise taxes, and Social Security tax.
- Understand the difference between sales and excise taxes and their economic implications.
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Learning Objectives
- Grasp the framework and implications of various taxation types, including corporate income tax, excise taxes, and Social Security tax.
- Understand the difference between sales and excise taxes and their economic implications.