Tax incidence describes
A) who makes the tax payment to the taxation authority.
B) who bears the tax burden.
C) where the tax is levied.
D) what goods or services are subject to taxation.

Question

Quizplus · Accepted Answer

Tax incidence refers to who ultimately bears the economic burden of a tax, regardless of who initially pays the tax to the government. It analyzes the distribution of the tax burden between buyers and sellers or among various income groups.

Tax Incidence Describes