Value Added Tax


VAT. A consumption tax which is levied at each stage of production based on the value added to the product at that stage.

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I was explained the value added tax and I did not know what it meant because it did not interest me.

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The President of the United States told my boss that he believed that businesses should be subject to a value added tax at each stage of making a new product.

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With a value added tax, no single agent has a strong incentive to evade the tax and without a complete shadow supply chain, goods cannot make it to consumers with no tax paid.

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value added monthly index tax rate