It depends on the L2 technology. FOr ATM, the label or tag is placed in the vpi/vci field of the cell. Otherwise it is placed as a "shim," squeezed between the L2 and L3 headers.
MPLS can best be characterized as L3 because its treatment of a packet is based on the L3 destination address. It creates flows based on that.
HTH
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Thanks
Victor