tax rate

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Related to Effective rates: Effective Rates of Protection

Tax rate

The percentage of tax paid for different levels of income.

Tax Rate

A percentage of one's income that one must pay in taxes. Tax rates vary according to incomes. That is, one who makes $100,000 per year usually has a higher tax rate than one who makes $25,000. See also: Marginal tax rate, Average tax rate.

tax rate

The proportional amount of taxes paid on a given income or the given dollar value of an asset. If the tax is calculated on the basis of total income, it is the average tax rate. If the tax is calculated only on extra units of income, the rate is the marginal tax rate.

tax rate

the percentage rate at which a TAX is levied on income or expenditure. Tax rates are varied by government on social grounds (to redistribute income) and, as part of FISCAL POLICY, to increase or decrease spending.

tax rate

The percentage used to calculate various taxes.

References in periodicals archive ?
Therefore, if a distribution company spends less on capex than the amount assumed by the regulator, the effective rate of return on its actual RAB (which corresponds to actual investments) will be higher than the statutory rate of return (the opposite is also true).
In 2009 and 2010, MRSK regional branches operating under RAB demonstrated electricity loss rates generally in line with the normative rates, which therefore had a neutral effect on the effective rate of return on RAB.
It is a reasonable assumption--though subject to many qualifications--that the cost of protection is greater, firstly the greater is the average effective rate of protection of protected industries or activities relative to low- or zero-protected activities (notably export industries or activities), and secondly the greater is the variation of effective rates within the protected sector.
The elaborate discussion about tariff benchmarks, how uniform effective rates should be, whether there should be upper limits to effective rates, and indeed whether it is better to use effective rather than nominal rates for policy, has been a temporary phenomenon.
I cannot summarise it here, except to note that it opened up a number of issues, including the meaning of a scale of effective rates as an indicator of how the protection system affected the movement of domestic resources (a general equilibrium issue), the treatment of non-traded inputs (a crucial measurement issue), and the 'substitution problem', namely how the assumption of fixed coefficients inherent in all input-output calculations distorted the results when there was actually substitutability both between different inputs and between inputs and value added of a particular activity.
Although the effective rates varied among the three groups, there were some commonalties.
In addition to summarizing the R&E credits offered by the states, the authors compare the effective rates of these credits based on the differences in the statutory rates, the definition of creditable research, and the limitations imposed in the credit formulae used to compute the credit.
Indeed, the 6.5% effective rate of credit is the best-case scenario.
To determine the relative impact calculations were made of the effective rate of R&E credit for 80 firms for 1990 using information available from published sources.
For those firms that received a credit under either formula, the average effective rate under the fixed base approach is 2.5% and 1.9% under the moving average approach.
Thus, the "effective rate," which takes account of both the deductibility of federal taxes on state returns and state taxes on federal returns, was considerably less than the statutory rate.
Montana's higher effective rate actually resulted from lower rates of federal tax on capital gains: With lower federal taxes, the taxpayer had less to deduct on the Montana return and thus owed more to the state.

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