# What type of tax is a sales tax answers com

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What type of tax are sales tax and excise tax?

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Sales tax applies to almost anything you purchase while excise tax only applies to specific goods and services.

Sales tax is typically applied as a percentage of the sales price while excise tax is usually applied at a per unit rate.

An excise tax is an indirect tax that is not paid by the customers directly — instead, the excise tax is imposed on the supplier or the producer, who then includes it in the product price. Excise taxes are imposed by the federal, state, and local governments. The taxes can either be applied as a percentage of the total cost of a product or service or as a fixed amount.

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