local tax

Local Tax

A tax levied and collected by a state/province and or municipality. Local taxes are collected in order to fund local government services, but they often are also used to pay coupons and principals on municipal bonds. Local taxes sometimes come in the form of income or sales taxes, but the largest example of a local tax is property tax.

local tax

a TAX on property or persons by local authorities/councils which, together with central government grants, is used to finance the provision of various local services. Before 1990, in the UK, rates were levied on eligible properties; between April 1990 (April 1989 in Scotland) and April 1993 a community charge (poll tax) was levied on eligible persons; since April 1993 a council tax has been levied on eligible properties. The current means of raising local taxes, the council tax, is based on the rateable value of local properties, the amount payable in the case of residential dwellings being adjusted to take into account such things as the number of people living in the property, their incomes, and any disabilities they suffer. See UNIFORM BUSINESS RATE.

local tax

a TAX on property or persons by local authorities/councils that, together with central government grants, is used to finance the provision of various local services. Before 1990, in the UK, rates were levied on eligible properties; between April 1990 and April 1993, a ‘community charge’ (‘poll tax’) was levied on eligible persons; since April 1993, a ‘council tax’ has been levied on eligible properties. The current means of raising local taxes, the council tax, is based on the rateable value of local properties, the amount payable in the case of residential dwellings being adjusted to take into account such things as the number of people living in the property their incomes, and any disabilities they suffer. See UNIFORM BUSINESS RATE.