For local governments, other than school districts,
revenue sources include sales , income, and excise taxes ;
non- tax revenues include user fees for services and
enterprise funds. State exert budget spending control
by limiting tax base or tax rates and , thus, limiting
tax revenues collected. One stringent practice is indexing or limiting increases from previous years. States
often earmark revenues by limiting the purposes that
certain revenue can be used; for example, stat es may
limit the revenue from gasoline taxes to be us ed for
road repairs. State impose conditions for us e of differ-en t types of taxes; an example is the centralized state
collection of sales taxes.
For local governments, other than school districts,revenue sources include sales , income, and excise taxes ;non- tax revenues include user fees for services andenterprise funds. State exert budget spending controlby limiting tax base or tax rates and , thus, limitingtax revenues collected. One stringent practice is indexing or limiting increases from previous years. Statesoften earmark revenues by limiting the purposes thatcertain revenue can be used; for example, stat es maylimit the revenue from gasoline taxes to be us ed forroad repairs. State impose conditions for us e of differ-en t types of taxes; an example is the centralized statecollection of sales taxes.
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