Which of the following situations is a clear application of the benefits principle of taxation?
A)Wealthier people are taxed more heavily.
B)Heavier vehicles are charged higher tolls on turnpikes.
C)State government providing a free education to any child in the state.
D)Sales of measles vaccine exempt from sales tax.

Question

Quizplus · Accepted Answer

The benefits principle of taxation argues that those who benefit more from government-provided services should pay more taxes to support those services. Charging heavier vehicles higher tolls on turnpikes is an example of this principle because heavier vehicles cause more wear and tear on roads than lighter vehicles and therefore benefit more from the maintenance of those roads.

Which of the Following Situations Is a Clear Application of the Benefits