Determine whether each statement regarding valueadded taxes

Determine whether each statement regarding value-added taxes (VAT) is true or false and label it according A VAT is a tax charged on only the most valuable goods and serivces. Under a VAT, the same good or service can be taxed at multiple points in the production process. A VAT is a tax paid on difference of between the cost of materials purchased and price that an object is sold for. VATs are thought to be harder to evade than retail sales taxes. Relative to income, VATs place a larger burden on poorer households than wealthier households.

Solution

1.False

2.True

3.True

4.True

5.False.