indirect tax

American  

noun

1. a tax levied indirectly, as one levied on commodities before they reach the consumer but ultimately paid by the consumer as part of the market price.

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indirect tax British  

noun

1. a tax levied on goods or services rather than on individuals or companies Compare direct tax

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Other Word Forms

• indirect taxation
  noun

Etymology

Origin of indirect tax

First recorded in 1795–1805

Compare meaning

How does indirect-tax compare to similar and commonly confused words? Explore the most common comparisons:

• direct tax vs. indirect tax

Example Sentences

The company projected over $750 million in direct and indirect tax revenue from the proposed tax breaks and those approved in 2014.

From Seattle Times • Feb. 27, 2023

From April to June 16, the government's direct tax collection rose 45% year-on-year to 3.4 trillion rupees, while indirect tax collection in April-May rose nearly 30%.

From Reuters • Jun. 23, 2022

The British Constitution promised representation of the will of British subjects, and without such representation, even the indirect tax of the Sugar Act was considered a threat to the settlers’ rights as British subjects.

From Textbooks • Dec. 30, 2014

Germany’s largest lender dropped its 2011 profit forecast and announced plans to cut 500 jobs as market volatility and unexpected costs on an indirect tax position weighed on third-quarter earnings.

From BusinessWeek • Oct. 4, 2011

An indirect tax is a tax on one individual, but is indirectly paid by another.

From Citizenship A Manual for Voters by Cromwell, Emma Guy