Hidden Taxes
Definition of 'Hidden Taxes'Taxes that are indirectly assessed upon consumer goods without the consumer's knowledge. Hidden taxes are levied upon the goods at some point during the production process and therefore raise the cost of the goods sold. However, this tax is never revealed directly to the consumer, who simply pays a higher price for the good, not knowing that part of that price is due to this tax. |
|
Investopedia explains 'Hidden Taxes'Some ad valorem taxes are an example of a hidden tax, as are taxes that are imposed at the wholesale level. Most consumers are aware that there is a tax on retail goods (sales tax), but this is by no means the only tax levied on consumer goods. Hidden taxes are almost invariably passed on to the consumer. |
Related Definitions
Articles Of Interest
-
Don't Put Off Your Year-End Tax Plan
From sales tax deductions to credit reports, check out what items should be on your financial checklist. -
Municipal Bond Tips For The Series 7 Exam
Learn to distinguish between general obligation and revenue bonds to ace this test. -
NAFTA's Winners And Losers
Read on to find out who this free-trade agreement helped, and who it hurt. -
10 Reasons Why Moving Might Not Make You Richer
Find out why moving to a less expensive city may not reduce your expenses. -
Femsa Is A Delicate Balance Between Growth Opportunities And Valuation
Femsa's stock got a little too popular, but the long-term prospects are very good. -
Coty Readies IPO
Fragrance maker Coty filed a registration statement amendment May 28 that sees it raising as much as $1.2 billion from its IPO. Coty tried to buy Avon for $10.7 billion in 2012 but was unsuccessful. ... -
5 Best-Selling Cars Ever
Here's a list of the best-selling cars of all time. -
Has Income Tax Become A Class Tax On The Poor?
With more than 33% of American families falling close to the poverty line despite their adult members holding full-time employment, a rising number of citizens are being forced to pay a rate ... -
Mondelez Isn't As Good As Nestle, But Priced Like It Is
Investors seem to bullish on Mondelez, given the relative performance at Kellogg and Nestle. -
How Spring Cleaning Can Make You Money
Spring cleaning is a well-established tradition, but you can also make money by selling your unwanted goods.
Free Annual Reports