The value-added tax is
A) similar to an ad valorem tax on imports.
B) a form of direct taxation on corporate income.
C) a form of national sales tax.
D) none of the above.

Question

Quizplus · Accepted Answer

The value-added tax (VAT) is a form of national sales tax. It is an indirect tax that is levied on the value added at each stage of production and distribution of goods and services. It is typically included in the price of goods and services and paid by consumers, but ultimately remitted to the government by businesses.

The Value-Added Tax Is