consumption tax

noun

1. a tax, as a sales tax, levied on consumer goods or services at the time of sale.

Word History and Origins

Origin of consumption tax¹

First recorded in 1900–05

Example Sentences

If a tax policy cuts a flat income tax across the board, "you would expect low-income Americans to not get as large of a tax cut as consumption tax increased," he told Salon in an interview.

From Salon

In a bid to boost supply, the government has said it will remove the federal 5% consumption tax on the construction of new rental apartment buildings and is telling cities to do more to address the issue.

From Reuters

A more complex and structural reform, involving income tax exemptions, taxation of profits and dividends and reductions to payroll taxes, would be presented after the consumption tax reform clears the Senate, the sources said.

From Reuters

The government signaled on Tuesday it would propose a comprehensive income tax reform only after the Senate has passed a consumption tax reform that cleared the lower house of Congress this month.

From Reuters

To fulfill its redistributive ambitions, the reform proposes a cash-back system, enabling low-income families to claim back part of their consumption tax.

From Washington Times