The statutory incidence (or burden) of a tax refers to
A) the governmental agency responsible for collecting the tax.
B) who actually bears the burden of a tax once changes in market prices are taken into account.
C) the degree of progressiveness in the rate structure of the tax.
D) who the tax is legally or statutorily imposed on.

Question

Quizplus · Accepted Answer

The statutory incidence of a tax refers to the legal assignment of who is responsible for paying the tax to the government, regardless of who ultimately bears the economic burden of the tax.

The Statutory Incidence (Or Burden) of a Tax Refers to