Value-added taxes (VAT) are commonly imposed by governments around the world as part of their revenue collection system. However, the terminology for this type of tax varies depending on the country. In Europe, it is commonly referred to as a goods and services tax (GST), while Australia and New Zealand use the term Goods and Services Tax (GST) to refer to VAT. In other countries, VAT is known as a consumption tax or a sales tax. Some countries, such as Japan, Singapore, and South Korea, also impose a similar tax referred to as a consumption tax, which is applied to all goods and services sold within the country. Despite the different names, these taxes serve the same purpose: to generate revenue for the government based on the value of goods and services consumed by individuals and businesses.