How is an excise tax different from a sales tax? an excise tax is not deductible. an excise tax applies to specific products. an excise tax applies only to imported goods. an excise tax is an indirect tax.

Answer.

An excise tax is different from a sale tax because: An excise tax applies to specific product.

Explanations

Other differences between Excise tax and Sales tax are;

•Excise duty is placed on the production of goods where as sales tax is placed on sale of goods

•Excise tax is paid by manufacturers of goods where as the sale tax is felt by the end user

•Excise tax is levied on accessible value whereas sale tax is based on the sale price.

The excise tax is different from the sales tax because it applies to specific goods.

Further Explanation:

Excise Tax is defined as an indirect tax which is levied on the production of goods that are produced and manufactured within the country. Sales tax is defined as a tax whose burden is borne by the end customer who is the final consumer of the product.

Excise Tax:

•It is imposed on the production of goods

•The manufacturer pays the excise tax

•It is imposed on the accessible value

Sales Tax:

•It is levied on the sale of goods

•The tax burden is borne by an end consumer

•It is levied on sales price

Thus, the excise tax is different from a sales tax because it applies to specific goods.

Learn more:

1. Learn more about the state Income Tax

2. Learn more about the Property Tax

3. Learn more about the Property Tax

Answer details:

Grade: Middle School

Subject: Taxation

Chapter: Indirect tax

Keywords: excise tax, indirect tax, Sales tax, applies to specific goods, applies to imported goods, is not deductible.

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