The classifications of taxes as to scope and as to subject matter?

Answer 1

CLASSIFICATION OF TAXES

ACCORDING TO SUBJECT

1. Person, poll or capitalization. Tax is imposed on individuals residing within the specified territory, whether he is a citizen or not, regardless of his property or his occupation w1hich he is engaged. Example is Residence Tax.

2. Property Tax. This kind of tax imposed on property whether it is real or personal. It is proportion either to its value, or in accordance with some reasonable method of appointment. Example is real estate Tax.

3. Exercise Tax. Tax, which does not fall within the classification of a poll tax. It is imposed upon the performance of an act, the enjoyment of a privilege, or the engagement of an occupation. Examples are Privilege Taxes on business or occupation; estate; donors and income taxes.

ACCORDING TO PURPOSE

1. General Fiscal or Revenue. This type of Tax is imposed for the general purpose of the government. Examples are Income tax, Sales Tax.

2. Special or Regulatory. Ic is a tax imposed for a special purpose, to achieve some special economic and irrespective of whether it is a actually raised

ACCORDING TO SCOPE

1. National. This is the tax imposed by the national government. Examples are national internal revenues taxes, custom duties and national taxes imposed by special laws.

2. Municipal or Local. It is tax imposed by the municipal government (local government). Example is real property tax,

ACCORDING TO DETERMINATION OF AMOUNT

1. Specific. This is tax of affixed amount imposed by the head or number, or by some standard of weight or measurement that requires no assessment. Examples are taxes on distilled spirits, matches, cigarettes and others.

2. Ad valorem. This is fixed proportion tax imposed on property with respect to its assessed value. It requires the intervention of assessors or appraiser to estimate the value of such property before the amount value. Examples are real estate tax, most custom duties.

ACCORDING TO ITS EFFECT TO TAXPAYER

1. Direct. This is a demand tax imposed to a person who usually taken the burden. Examples are residence taxes, corporate and individual income taxes.

2. Indirect. This is the tax which imposed to must good either local or imported as mandated by laws. Examples are specific tax, privilege tax, sale tax, amusement tax and custom duties.

ACCORDING TO GRADUATION RATE

1. Proportional. This tax is based on a fixed percentage of the amount of property, income and other basis. Examples are sales tax and real property tax.

2. Progressive or graduated. This is the tax imposed in accordance to the specified bracket in which the tax is based on.

3. Regressive. This is the tax imposed in accordance to the rate of which decrease as the tax base brackets increases.