hidden tax


Also found in: Dictionary, Thesaurus, Encyclopedia, Wikipedia.
Related to hidden tax: gift tax

Hidden Tax

A tax that is built in to the price of a good or service that the buyer does not see. That is, rather than being added at the end of a transaction, like a sales tax, hidden taxes are included in the price. Examples of hidden taxes include corporate taxes, which can cause companies to raise their prices so as not to reduce profit, and VAT, in which taxes are added at every stage of production. See also: Inflation tax.

hidden tax

an INDIRECT TAX that is incorporated into the PRICE of a good or service, but the consumer is not made fully aware of its existence or magnitude; for example, the amount of EXCISE DUTY included in the price of cigarettes and beer is not normally made known to the consumer. VALUE-ADDED TAX, by contrast, is incorporated into the price of a product at specified rates.
Mentioned in ?
References in periodicals archive ?
welfare loss depends on which goods are crowded out by the hidden tax.
Insurance consumers ultimately shoulder what amounts to a hidden tax through higher premiums, less-available disaster insurance or through guarantee fund assessment-related surcharges after an insurer fails.
Although Congress may enact legislation to scale back or eliminate the AMT, it appears likely the hidden tax problem will continue to plague taxpayers in the future.
Empty property rates have imposed a hidden tax on speculative industrial and commercial builds in Wales and the rest of the UK.
But, say tax experts at Droitwich-based chartered accountants Ormerod Rutter, many enterprising part-timers could be missing out on hidden tax benefits.
The 114,000 uninsured Oregon kids will continue to get health care from emergency rooms on the taxpayers' dime, and tobacco-related illness will continue to levy a hidden tax of $587 on every Oregon household, every year.
Simple is good, not only on its own account, but because complexity represents a daunting, hidden tax on American business.
and in estimating national taxes, inflation--a hidden tax caused largely by government debt and overprinting of money--is not part of the figure.
Mr Davies' plaything is one of the largest subsidy-receiving industries ever to have been created and we, the consumer, will find ourselves paying for it in a hidden tax on our electricity bill.
Abolish this hidden tax today, give us back entertainment - - who knows it may even stop us going down the pub on the weekends and stop binge drinking.
government imposed 27 percent tariffs on softwood lumber imports from Canada; those duties can add more than $1,000 to the cost of building a new home, imposing a hidden tax on American home buyers, the NAHB says.
Constitutional limitation of tax burdens and protection against double taxation on income by different countries; - Constitutional limitation on government spending; - Constitutional ban on indebtedness; - Constitutional guarantee of tax exemption on the level of ,subsistence; - Constitutional guarantee of control on public finance; - Constitutional order of general understandable tax laws; - Constitutional guarantee to avoid hidden tax increases caused by inflation; - Constitutional order of privatisation; - Punishment of waste of tax money and tax evasion; - Constitutional limitation of public administration