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The government can pass laws to tax the Sale or Purchase of an item. Many taxes that are imposed are on the sale of an

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The government can pass laws to tax the Sale or Purchase of an item. Many taxes that are imposed are on the sale of an item. If they tax the SALE of the item, then the sellers have the legal obligation to pay the government the amount of the tax levied (for example the excise tax levied on the sale of GASOLINE). If the government taxes the PURCHASE of an item, then the buyers have the legal obligation to pay the government the amount of the tax levied (for example payroll taxes paid by employers (buyers of labor services) for their employees (sellers of labor services). Using Demand and Supply, discuss whether HOW the expected outcomes of imposing the tax on the SALE an item would differ from the expected outcomes from imposing a tax on the PURCHASE of an item, other than who has the legal obligation of paying the government

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