Which statement is false?

A) A poor person who smokes pays a higher percentage of her income in cigarette excise tax than a rich person.
B) The cigarette excise tax is a regressive tax.
C) The cigarette excise tax is a direct tax.
D) None is false.

Excise Tax

Excise tax is a specific type of tax imposed on certain goods, services, and activities, often included in the price of products like tobacco, alcohol, and gasoline.

Regressive Tax

A tax system where the tax rate decreases as the taxable amount increases, putting a higher relative burden on lower-income earners.

Direct Tax

A tax directly paid to the government by the individual or organization upon whom it is imposed, such as income tax.