Excise duties are paid on goods that are
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 warehouses
Correct Answer: B) manufactured within the country
Explanation
Excise duties are taxes that are paid on certain goods that are produced within a country. These taxes are usually added to the price of the goods and paid by the manufacturer or producer of the goods. The purpose of excise duties is to raise revenue for the government and to discourage the consumption of certain goods that are considered harmful, such as tobacco and alcohol.In the given question, we are asked on what goods excise duties are paid. We are given four options to choose from. Option A states that excise duties are paid on goods that are imported into the country. However, this is not correct as excise duties are only paid on goods that are produced within the country.
Option B is the correct answer as it states that excise duties are paid on goods that are manufactured within the country. This means that if a company produces goods in the country, they will have to pay excise duties on those goods.
Option C states that excise duties are paid on goods that are exported to other countries. This is not correct as excise duties are only paid on goods that are produced within the country.
Option D states that excise duties are paid on goods that are kept in bonded warehouses. This is not correct as excise duties are only paid on goods that are produced within the country.
Therefore, the correct answer to the question is Option B - excise duties are paid on goods that are manufactured within the country.