Share this site with del.icio.us Share this site with digg Share this site with reddit Share this site with technorati Share this site with furl Share this site with stumbleupon Share this site with google Add this site to Yahoo Bookmarks Click here to add us to your favorites Subscribe to our Feed





taxation

Definition

Means by which governments finance their expenditure—by imposing charges on citizens and corporate entities. Although, principally, taxation should be neutral in its effects on the different sectors of an economy, governments use it to encourage or discourage certain economic decisions. For example, reduction in taxable personal (or household) income by the amount paid as interest on home mortgage loans results in greater construction activity, and generates more jobs. See also taxation principles.

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z