Benefit Principle

Benefit Principle

A philosophy stating that those who benefit most from government programs have an obligation to pay more for those programs. For example, shareholders in companies subsidized by the government may pay more under a tax system using the benefit principle. This contrasts with the ability to pay principle.
References in periodicals archive ?
The win-win policy or mutual benefit principle guiding the cooperation framework between Japan and Africa should be practical so that Japan does not fall in the bracket of development partners, who use the African platform for their own selfish interests and more so to exploit natural resources in Africa.
From the federal perspective of encouraging stabilization, the federal government should take the position that the benefit principle of taxation should be used to the extent possible.
Reforming the federal financing subsidy is also consistent with the benefit principle because my proposed reforms would require a tighter connection between the (national) costs of the subsidy and (national) benefits.
Chapter 3 Freakonomics cases reinforce Frank and Bernanke 's cost benefit principle and also illustrate fundamental economics principles such as a "winner take all " labor market.
Returning to the benefit principle, most studies indicate that agriculture pays more in property taxes than it receives in services.
Observation: Severance payments are deductible business expenses even though severance costs embody an element of future benefit--the matching principle overrode the future benefit principle with the result that current deduction is appropriate.
According to the first, known as the benefit principle, different citizens receive different levels of benefits from the state and the burden of funding government expenditures should be distributed among taxpayers according to the level of benefits received.
Originating in the discourse of political thought, the benefit principle suggests that governors obtain control over their subjects as a result of mutually beneficial relationships between themselves and those to be governed.
I am sure that relations between our countries have prerequisites for strengthening balanced bilateral ties in political, commercial realms, as well as attraction of foreign investments built upon equality and mutual benefit principles.
competitive wage and benefit principles consistent with the Magna Employee's Charter;
Second, he explores ideas of property, contract, harm and benefit principles, and remedies against harm "at the margin," - those blurry realms where boundaries are fuzzy, coordination and holdout problems are great, and Adam Smith's "invisible hand" is weak.
In the document it was emphasized that "in modern conditions international security should be based on mutual trust, equality, cooperation, and benefit principles.