Examples of tax base in a Sentence
an area with a large tax base
Recent Examples of tax base from the Web
Generous tax breaks and other incentives can erode a city’s tax base.
Generous tax breaks and other incentives can erode a city's tax base.
With high education costs, an aging population and essentially no commercial tax base, the rural town is especially reliant on state aid.
In theory this means that companies would not be taxed on their overseas earnings, but to prevent erosion of the tax base, Republicans plan to impose some form of tax on foreign profits at a rate that has yet to be determined.
In poorer ones the reverse is true, as more health, education and other needs must be met from a smaller tax base.
The firm’s goal is to make Detroit more liveable to prevent additional population attrition and attract businesses and residents back to the city, which will, in turn, positively affect the tax base.
The families started to leave, and there went the tax base.
Like Winnie, Pearlington is an unincorporated town, with no mayor or local government to lead rebuilding efforts, and no tax base to help fund those efforts.
These example sentences are selected automatically from various online news sources to reflect current usage of the word 'tax base.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.
First Known Use of tax base
Financial Definition of TAX BASE
What It Is
A tax base is the total amount of assets or revenue that a government can tax.
How It Works
For example, let's assume that in Big Town there is $500,000,000 of commercial and residential real estate that is subject to property taxes. If the local school district gets all of its funding from those property taxes, then its tax base is $500,000,000.
Taxes can be based on any kind of asset or revenue stream. For example, to calculate the tax base for a sales tax, you may consider the total spending power of the adults in the community as the tax base. Revenue streams from a gas tax might consider total gas station revenue as the tax base.
Why It Matters
The size and growth (or lack of growth) of the tax base is crucial to the planning efforts of any local, state, or federal government. Because the size of the tax base influences the taxable revenues that are available to a government, there is a direct correlation between the economic condition of a city as a whole and the budget of the government that serves it. Accordingly, governments must always consider how their decisions will affect their tax base.
TAX BASE Defined for English Language Learners
Definition of tax base for English Language Learners
: the amount of money or property that can be taxed within an area
legal Definition of tax base
- change the tax base of a school district to reduce the property tax burden
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