Question

match the clues to the correct terms found in the answer key. write the letter of each term in the space provided. answer key: a. user tax b. excise tax c. sin tax d. gasoline excise tax e. luxury tax b a tax that is paid to the government by consumers when they purchase particular goods. c the point of this is to discourage the purchase of goods that do not promote consumers’ health. e this is placed on goods that are expensive and considered nonessential. a the purpose of this is to make consumers pay the price of manufacturing and distribution of certain products. d this has generated millions for road repair for more than sixty years.

Explanation:

1. An excise tax (B) is paid by consumers on specific goods.
2. A sin - tax (C) aims to discourage purchase of health - unfriendly goods.
3. A luxury tax (E) is on expensive non - essential goods.
4. A user tax (A) makes consumers cover manufacturing and distribution costs.
5. A gasoline excise tax (D) has funded road repair for over 60 years.

Answer:

1. B. excise tax
2. C. sin tax
3. E. luxury tax
4. A. user tax
5. D. gasoline excise tax