The state of Georgia recently increased its tax on a carton of cigarettes by $2.00. What type of tax is this?

The state of Georgia recently increased its tax on a carton of cigarettes by $2.00. What type of tax is this? 





A. A sin tax

B. An excise tax

C. It is not a tax; it is a fine

D. Both a sin tax and an excise tax are correct

E. None of these is correct




Answer: D


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