value-added taxes Sentence Examples
- Value-added taxes (VATs) are a form of indirect tax levied on the consumption of goods and services.
- VATs are assessed at each stage of the production and distribution chain, from raw materials to final goods.
- The amount of VAT charged is based on the value added to the product or service at each stage.
- VATs are typically applied at a standard rate, but some goods and services may be subject to reduced or zero rates.
- Businesses can deduct the VAT they pay on their inputs from the VAT they collect on their sales.
- VATs generate significant revenue for governments, accounting for a substantial portion of tax revenue in many countries.
- VATs can have a regressive effect, as they disproportionately impact lower-income households.
- Some VAT systems implement mechanisms to mitigate the regressive effects, such as exemptions or reduced rates for essential goods.
- VATs can also be complex to administer and comply with, resulting in additional costs for businesses.
- The design and implementation of VATs can vary significantly from country to country, reflecting different economic and social policies.
value-added taxes Meaning
value-added taxes
an incremental excise that is levied on the value added at each stage of the processing of a raw material or the production and distribution of a commodity and that typically has the impact of a sales tax on the ultimate consumer, a tax levied at each addition of value in the processing of a raw material, the performance of a service, or the production and distribution of a commodity with each payer except the consumer reimbursed from payment at the next stage
Synonyms & Antonyms of value-added taxes
FAQs About the word value-added taxes
an incremental excise that is levied on the value added at each stage of the processing of a raw material or the production and distribution of a commodity and
poll taxes, sin taxes, capitations, withholding taxes,income taxes, single taxes, property taxes, direct taxes, sales taxes, taxes
No antonyms found.
Value-added taxes (VATs) are a form of indirect tax levied on the consumption of goods and services.
VATs are assessed at each stage of the production and distribution chain, from raw materials to final goods.
The amount of VAT charged is based on the value added to the product or service at each stage.
VATs are typically applied at a standard rate, but some goods and services may be subject to reduced or zero rates.
