Question

What is the main source of tax revenue for local governments? inheritance taxes income taxes property taxes sales taxes

Answer 1

Answer: Property taxes

Explanation:

Property taxes are the main source of tax revenue for local governments.

Property taxes refer to taxes or levy that are imposed primarily on land and buildings. They are real estate ad-valorem tax, which are calculated by the local government and is been paid by the owner of the property. The amount paid is based on the value of the property. The taxes collected are used to support community safety, schools, infrastructures and so on.

Answer 2

Local government tax revenues tend to be mainly funded by property taxes—in 2010, local government obtained just over 75 percent of their 2010 tax revenues from property taxes.[4] The main source of revenue for state governments, however, was taxes on sales and gross receipts.