ad valorem tax investment & finance definition
A tax that is computed as a percentage of the value of specific property. For example, many states levy an annual tax on the market value of an investor's securities as of a certain date.
An ad valorem tax is typically imposed at the time of a transaction (sales tax or value added tax (VAT)) but it may be imposed on an annual basis (property tax) or in connection with another significant event (inheritance tax or tariffs).
AD VALOREM TAX - A direct tax calculated "according to value" of property. Ad valorem tax is based on an assigned valuation (market or assessed) of real property and, in certain cases, on a valuation of tangible or intangible personal property.
Ad Valorem Tax
A tax based on the assessed value of real estate or personal property. Ad valorem taxes can be property tax or even duty on imported items.
ad valorem tax
[Latin: to the value added] A tax based on the value (or assessed value) of real property.
adjustable-rate mortgage (ARM) ...
Ad valorem taxes: A tax levied "by value," usually used to describe property taxes.
Ad valorem tax
>A type of tax calculated based on percentage of gross or stated value. For example, VAT.
Additional bonds test
A test for ensuring that bond issuers can meet the debt service requirements of issuing any new additional bonds.
Counties and school districts and municipalities usually are, and special tax districts may be, authorized by law to levy ad valorem taxes on property other than intangible personal property.
Sales taxes are ad valorem taxes, imposed "according to the value" (i.e., monetary value) of the taxable commodity. They are classified according to the levels of business activity at which they are imposed — production, wholesale, or retail.
It is also called an ad valorem tax, which simply means the tax rate is established by the value. There are also different kinds of property taxes, such as personal property tax.
 See also: Fund, Revenue, Rate, Issue, Market
  
|
RSS
