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A general tax which applies at each point of exchange of goods and service is?

A general tax which applies at each point of exchange of goods and service is?
Take Free Practice Test On 2026 JAMB UTME, Post UTME, WAEC SSCE, GCE, NECO SSCE
  • A A specific tax
  • B An ad valorem tax
  • C Value added tax
  • D Direct tax
Correct Answer: Option C
Explanation:
value added tax is a tax on the amount by which the value of an article has been increased at each stage of its production or distribution. A value-added tax (VAT) is a consumption tax placed on a product whenever value is added at each stage of the supply chain, from production to the point of sale.

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