Which of the Following Is an Example of a Transaction-Based

question 82

Multiple Choice

Which of the following is an example of a transaction-based tax?

• A)A tax on net business income
• B)An excise tax
• C)An estate tax on the transfer of assets at death
• D)Both B.and C.

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Definitions:

Legally Binding

An agreement or contract that is enforceable by law, where all parties are obligated to fulfill their terms.

Court Opinion

An official statement by a judge or a court outlining the legal reasoning behind a judicial decision.

U.S. Constitution

The supreme law of the United States, establishing the framework of the national government and fundamental protections of civil liberties.

Legally Binding

Describes an agreement or contract that is enforceable by law, where all parties are obligated to fulfill their commitments.