Examlex
What does W stand for in the following equation?
Benefits Principle
A theory in taxation stating that those who benefit from government services should pay taxes in proportion to the amount they benefit.
Government Services
Public programs and activities provided by the federal, state, and local governments to benefit their citizens.
Ability-To-Pay Principle
A taxation principle that suggests taxes should be levied according to an individual's or entity's capacity to pay, typically measured by income or wealth.
Taxes
Compulsory financial charges or some other type of levy imposed on a taxpayer by a governmental organization in order to fund government spending and various public expenditures.
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