Value-Added Tax - VAT Definition | Investopedia

Value-Added Tax - VAT Definition | Investopedia www.investopedia.com/terms/v/valueaddedtax.asp What is a \'Value-Added Tax - VAT\' A value-added tax (VAT) is a type of consumption tax that is placed on a product whenever value is added at a stage of production and at final sale. VAT is most often used in the European Union. The amount of VAT that the user pays is the cost of the product, less