If government wishes to tax us based on consumption of goods and services (perhaps to reward savers over spenders), it should institute a (an) income tax. payroll tax. property tax. profits tax. sales tax.

Explanation: sales tax is the name given to the cost incurred or paid into government coffers for the sale an item, goods or service. The tax amount is usually paid by the buyer upon purchase of the item to the seller and the amount is remitted to the appropriate tax authority by the seller. Sales tax differs from use tax in that use tax is paid directly to the government by the consumer while sales tax is paid by the consumer to the seller who then pays to the government. One common example of sales tax is the Value Added Tax which is levied by financial organizations, telecommunication companies and others who charge consumers a certain amount called 'VAT' which the company then pays to the government.

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