What is an indirect tax?
The most famous form of taxation is a direct tax; Something that pays directly individuals such as income and real estate taxes. In contrast, indirect tax is collected by an intermediary, which then brings it to the relevant agency. The amount of the tax paid is added to the costs of the item and indirectly handed over to the consumer. In some cases, the consumer does not have to be aware of the tax, but still pays through increased goods costs. This is usually a percentage of costs per item that is added to the price at the time of the sale. In the United States, turnover tax is not charged until the product is finally sold to the end user; Wholesale goods and goods purchased for further sale are exempt. The retailer who sells the item collects tax from the customer and brings it to the tax office. In the US, turnover tax is collected by individual countries and local municipalities.
has been financed by the added tax (VAT), also known as goods and services tax (GST), is another popular form of indirect tax. This was popRoué used in France to replace the traditional turnover tax and has spread rapidly throughout Europe. Within the VAT system, the tax is collected in every step of the production process and is based on the amount of value added to the item at this point.
excise tax tax is another indirect tax used worldwide. This is selected on specific subjects such as gasoline, alcohol, cigarettes or gambling. In the United States, they are sometimes referred to as the tax of sin; They are only evaluated against items, some people are considering vices. These provide a lucrative form of revenue for governments.
The mark is an indirect tax, which is assessed on the basis of certain documents such as a conosanist, insurance or bill. In the UK, various stamps are charged with the purchase or transfer of shares or when purchasing a real estate for a certain value. In India, they are also required for most contracts.
in the connected stAttuch is not subject to work and service taxes, but it is not in every country. India lracts all work and service activities, including trading, production and imports. The tax is considered to be production costs and affects the final price of the product. Although the consumer may not be aware of real tax taxes, they still pay indirectly.
Many nations also charge tariffs or obligations to import goods into their country. As these assessments are, they are very different and are also influenced by international treaties or business blocks. The average consumer generally does not know what tariffs have been evaluated on the products it buys. However, the costs were overturned to the final retail price of items, so it is the one who eventually pays for this indirect tax.
Determing economic benefits and impacts of taxation is a much more complicated process than just to consider the taxes that are evident for consumers. Government entities should assess whether the imposition of indirect tax against a commodity or process will increase income withoutfox reduction in demand for this product. If the demand is too dramatically reduced, then the total revenue will fall due to the loss of sales. Companies must also consider the overall impact of indirect taxation in considering business development at a specific location.