Tax burden refers to who ultimately bears the economic cost of taxes imposed on goods or services - whether it falls more on consumers (buyers) or producers (sellers).
Related terms
Tax Incidence: Tax incidence refers to how the economic burden of a tax is distributed between buyers and sellers. It depends on the price elasticities of demand and supply.
Tax Subsidy: A tax subsidy is a government policy that reduces or eliminates taxes on certain goods or services, effectively shifting some of the tax burden from consumers to producers.
Deadweight Loss: Deadweight loss represents the inefficiency in an economy caused by market distortions such as taxes. It occurs when there is a loss of consumer and producer surplus due to reduced quantity exchanged.