MODULE 3 Flashcards
the process by which a government, through lawmaking, imposes charges on its inhabitant to raise money for public use
taxation
purposes of taxation
primary
secondary
raise revenue that will be used in defraying government expenses
primary purposes
a purpose used to achieve certain social and economic objectives, depend on product/ objective/ company
secondary
objectives of secondary purpose
- regulate inflation
- minimize the adverse effects of certain activities
- equitable distribution of wealth
natures of taxation
- inherent power
- legislative
- subject to constitutional and inherent limitations
3 inherent powers of the sovereign state
- eminent domain
- police powers
- taxation
the right to take private property for public use and will be given fair compensation
eminent domain
government regulates behavior and enforces law to maintain order, safety, and health
police power
government power to collect taxes to support it’s function
taxation
what nature that talks about tax laws must first be enacted before taxes can be imposed
legislative
2 subject to constitutional and inherent limitations
- no taxation without representation
- uniformity
citizens can only be taxed if there is a law
no taxation without representation
taxes must be applied fairly /equally to similar circumstances
uniformity
