Social Sciences, asked by faraz8893, 1 year ago

What is your opinion about the value added taxes? Discuss.

Answers

Answered by Bajwa302
1

A value added tax (VAT) taxes the value that is added at each stage of production of certain commodities. A VAT discourages consumption even moreso than the current sales tax system because it would apply to all goods and services. ... VAT's discourage consumption because they raise the prices of goods and services.

Hope its helps!!

Answered by presentmoment
0

Value added taxes :

  • A value added tax is a tax which is charged on that portion of commodity which has been modified or on that portion of product on which value is added at one particular production level.
  • It is an indirect tax amount added to avoid double taxation on the goods as tax amount added is based on the value addition done at particular production level.
  • It is a consumption tax system which replaced previous system of sales tax in which consumer had to pay more tax due to counting of tax multiple times.

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