Question

Janette wants to take her family on a short vacation to Orlando, Florida. In addition to paying tax on the gasoline for the rental car, Janette was surprised to learn about the tax on airline travel.
The tax imposed on gasoline and airline travel is what type of tax?

a. sales tax
b. business tax
c. public good tax
d. excise tax

Answer 1

Answer:

d.  excise tax

Explanation:

Excise tax -

It refers to the tax , which is paid on certain type of goods and services , like the alcohol , tobacco , fuel , is referred to as excise tax.

These are basically for the business purpose and are the international level taxes , which is taken as soon as the person cross the boundary of the country.

These taxes are not noticed by the consumers directly.

Hence, from the given scenario of the question,

Janette is supposed to pay excise tax for gasoline and travel from airline.