a tax that can be shifter to a party other than the one on whom the tax is levied
An indirect tax is a tax on goods and services which is added to their price. Compare direct tax. A tax, such as a sales tax or value-added tax, that is levied on goods or services rather than individuals and is ultimately paid by consumers in the form of higher prices. a tax which is added to the cost of goods and services direct tax tax'ation
A tax you do not pay directly, but which is passed on to you by an increase in your expenses For instance, a company might have to pay a fuel tax The company pays the tax but can increase the cost of its products so consumers are actually paying the tax indirectly by paying more for the merchandise