Tax Base
Definition
The amount on which a tax is computed — income, sales, property value, etc. Broader bases allow lower rates for the same revenue.
Example
A VAT has a broader base than corporate income tax — fewer exemptions.
The amount on which a tax is computed — income, sales, property value, etc. Broader bases allow lower rates for the same revenue.
A VAT has a broader base than corporate income tax — fewer exemptions.