Antitrust laws also prohibit any type of inter-company agreements that promote monopoly power. State and local governments determine the sales tax percent. An excise tax is a tax on each unit sold and the revenue is collected from the producer. There are many other types of taxes that we will not discuss. Tariffs A tariff is an additional tax on imports.
Tariffs usually differ by country of origin.
A quota is a restriction on the number of a specific type of import. In the 1980 s the U.S. had a quota on Japanese cars that led to a shortage that allowed the price of both domestic and foreign cars to be raised.