Taxation

Taxation is the imposition of a transfer of money to the government. Almost every country in the world levies taxes, which are used to finance the running of the government. The recorded history of taxation goes back nearly as long as recorded history itself - Sumerian clay tablets found in the ruins of the city of Lagash from the 3rd millenium BC tell of a revolt over a heavy tax imposition.

Taxes can also be used for other purposes than raising money. Taxes are sometimes used to discourage certain activities. They are also sometimes used to transfer wealth from one group to another, usually to try to "even things out". Corvée labor is a tax "paid" directly in labor.

The imposition of a tax generally causes a change in the behavior of people, both those subject to the tax directly and others not directly subject to the tax. The consequences can be intended or unintended.

The American Revolution was fought in part over the issue of taxation. "No taxation without representation" was a catchphrase in the period 1763-1775 that summarized a primary grievance of the American colonists in the Thirteen colonies.

Additional Reading

• TAXING TIMES
• Taxes in the Ancient World