Question

Description:

________ tax on the use of vehicles, gasoline, alcohol, cigarettes, highways, and the like.

________ tax on the wealth and property of a person upon death.

________ tax on purchases of both discretionary and nondiscretionary items. ________ tax on wages, earned interest, capital gain, and the like.

________ tax on home and land ownership.

________ tax on purchases of discretionary items.

________ tax on items during their production as well as upon consumption.


Type of Tax:

Property tax

Consumption tax

Value-added or goods and services tax

Income tax

Excise tax

Sales tax

Estate tax

Answer 1

1. Excise tax.

2. Estate tax.

3. Consumption tax.

4. Income tax.

5. Property tax.

6. Sales tax.

7. Value-added tax.

Step-by-step explanation:

1. Excise tax: tax on the use of vehicles, gasoline, alcohol, cigarettes, highways, and the like.

2. Estate tax: tax on the wealth and property of a person upon death. This type of tax is mainly imposed on the rich and wealthy people, when transferring their wealth to another upon their demise.

3. Consumption tax: tax on purchases of both discretionary and nondiscretionary items.

4. Income tax: tax on wages, earned interest, capital gain, and the like. Generally, income taxes are progressive in nature such that tax rates are directly proportional to the income level.

5. Property tax: tax on home and land ownership. It is mainly taxed on real properties and other private properties (assets) e.g cars, ships, yacht, motorbikes, boats etc.

6. Sales tax: tax on purchases of discretionary items. It is the sole responsibility of the local or state government to impose a sales tax in the United States of America.

7. Value-added tax: tax on items during their production as well as upon consumption. It is used by government to share the tax burden between the consumer and the producer of the goods and services.