MANAGEMENT

Detailed explanation-1: -An excise tax is known as a “hidden tax, ” because it’s indirectly paid by consumers. The price of gas is one example; excise taxes are paid by the manufacturer, but that cost is bundled into the amount drivers are charged at the gasoline pump.

Detailed explanation-2: -Ad Valorem Tax – refers to the excise tax which is based on selling price or other specified value of the goods/articles.

Detailed explanation-3: -Excise duty is an indirect tax which has been subsumed by the Goods and Services Tax or GST. However, there are certain items on which excise duty is still charged. For example, alcohol, tobacco, and fuel.

Detailed explanation-4: -Excise taxes are taxes required on specific goods or services like fuel, tobacco, and alcohol. They are primarily taxes that must be paid by businesses, usually increasing prices for consumers indirectly. Excise taxes can be ad valorem (paid by percentage) or specific (cost charged by unit).

Detailed explanation-5: -An excise or excise tax (sometimes called an excise duty) is a type of tax charged on goods produced within the country (as opposed to customs duties, charged on goods from outside the country). It is a tax on the production or sale of a good. This tax is now known as the Central Value Added Tax (CENVAT).