Tax Revenues

Definition

Tax revenues represent the total amount of money collected by the government through various forms of taxation. These funds are used to finance public expenditures and provide essential services to citizens.

Related terms

Budget Deficit: A budget deficit occurs when government spending exceeds its tax revenues. This results in borrowing or increasing national debt.

Progressive Taxation: Progressive taxation is a system where individuals with higher incomes pay a higher percentage of their income in taxes compared to those with lower incomes.

Tax Base: The tax base refers to the total value or quantity upon which a tax is levied. It can be income, property, sales, or any other taxable item.