Taxes on gasoline, alcohol, and cigarettes are classified as ______ taxes.

Question

Quizplus · Accepted Answer

Excise taxes are imposed on specific goods or services, such as gasoline, alcohol, and cigarettes. They are typically applied per unit of the taxed item, as opposed to being based on the item's value or price (ad valorem). Severance taxes are levied on the extraction of natural resources, while flat and sales taxes are not specific to particular goods or services.

Taxes on Gasoline, Alcohol, and Cigarettes Are Classified as ______