What are the Different Types of Taxes?
Below is a list of different types
of taxes in the USA. There are many types of taxes in this
country and even more types of taxes are proposed. Some
types of taxes are federal taxes only while others are also
state taxes and local taxes. Different types of taxes have
different tax rates.
Property taxes are also called
ad valorem taxes because
they are based on value. There are two types of property
taxes; property taxes imposed on realty and property
taxes based on personalty or assets other than land or
Property taxes on realty are used
exclusively by states and local governments and political
subdivisions such as cities, counties and school
Personalty is all assets that are not
Transaction taxes are imposed at the
manufacturer's, wholesaler's or retailer's level.
Transactions which the federal excise
taxes are imposed on include tobacco products, fuel and
gasoline sales, air travel, manufacturers of trucks,
trailers, tires, firearms, sporting equipment and coal and
the gas guzzler tax on automobile, alcohol taxes, and other
taxes such as wagering.
This is similar to the Federal excise
taxes but levied at the state and local level.
General sales taxes are similar to
excise taxes but are levied on all transactions rather than
particular transactions. A use tax is an ad Valorem tax,
usually at the same rate as the sales tax on the use,
consumption, or storage of tangible property.
Some states such as Alaska, Delaware,
Montana, New Hampshire, and Oregon have neither sales tax
nor use tax.
Severance taxes are imposed when the
natural resources are extracted in a state.