Which of the following is NOT true regarding changes in taxation?
A)Factors increasing the need for more revenue also increase the likelihood that a government might adopt a new tax or raise an old one.
B)Politicians often will wait until after an election year to raise unpopular taxes.
C)Politicians are most likely to increase taxes when the political costs are the highest.
D)Fiscal hardship is the most important motivation for a state to adopt new taxes.

Question

Quizplus · Accepted Answer

Politicians are more likely to increase taxes when the political costs are lowest, not highest, to minimize backlash and potential negative impacts on their re-election or political standing.

Which of the Following Is NOT True Regarding Changes in Taxation