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Which of the following could be considered the best example of an excise tax Quizlet

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Which of the following is the best example of an excise tax?

Answer and Explanation: The correct option is Option c. tax collected on each gallon of gasoline sold. Gasoline is one of the special products which attracts excise tax and this tax is levied at the time of sale.

Which one of the following is an example of an excise tax?

Excise taxes are commonly levied on cigarettes, alcoholic beverages, soda, gasoline, insurance premiums, amusement activities, and betting, and typically make up a relatively small and volatile portion of state and local and, to a lesser extent, federal tax collections.

What is an example of an excise tax quizlet?

Excise taxes are federal or state taxes placed on commodities such as alcohol, tobacco, and gasoline.

What is an excise tax quizlet?

Definition. 1 / 22. An excise tax is a tax on sales of a good or service. The excise tax drives a wedge between price payed by consumers and that received by producers leading to a fall in the quantity transacted. It creates inefficiency by distorting incentives and creating missed opportunities.

considered excise tax quizlet

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