Excise duties are paid on goods that are?
-
A.
imported into the country -
B.
manufactured within the country -
C.
exported to other countries -
D.
kept in bonded warehouse
Correct Answer: Option B
Explanation
Excises are often associated with customs duties (which are levied on pre-existing goods when they cross a designated border in a specific direction); customs duties are levied on goods which come into existence – as taxable items – at the border, while excise is levied on goods which came into existence inland . That is to say, An excise duty is a type of tax charged on goods produced within the country (as opposed to customs duties, charged on goods from outside the country).