1-2a Taxes on prod & sale of goods

Question 0

Local excise taxes

Answer 0

Hotel occupancy; rental car surcharge

Question 1

Federal excise taxes

Answer 1

Trucks; trailers; tires; liquor; tobacco; firearms; sporting equip; air travel; gasoline fuel by the gallon; vaccines by the dose; telephone & air service for price paid

• the tax structure is proportional
• if you file based on the sale of these items, u must do it quarterly on the Form 720

Question 2

General sales tax

Answer 2

• different rates according to location (even within a city)

- some jurisdictions suspend general sales tax based on back-to-school items and energy-conserving appliances

Question 3

Use tax

Answer 3

• imposed on the same rate as sales tax for use, consumption, or storage of tangible property

Question 4

Value added tax

Answer 4

• levied at each stage of production by the producer