Indirect Tax
What does the government use indirect taxes to do?
They use it to generate revenue
Custom duty is also known as?
Import duties.
Fill in the blank:
Excise tax is primarily for........
Businesses
What do government tax?
Goods and services
What are custom duties?
Taxes are imposed on goods when transported across international borders.
Excise tax is mainly paid by?
Merchants
Who does this type of taxation affect?
Consumers/ Manufacturers/ Importers
What are import duties assessed based on?
Cost of goods being imported and additional charges on freight and insurance.
Some excise taxes that are paid directly by consumers include?
Property taxes, and levies on certain retirement account activities.
What are Valorem taxes?
These are taxes that are calculated as a percentage of the value of the item being taxed.
why is it important to ensure that invoice or ‘shop receipt’ is available for the examining Customs Officer?
To ensure fair value
What are excise taxes?
An excise, or excise tax, is any duty on manufactured goods that is normally levied at the moment of manufacture for internal consumption rather than at sale.