What is the difference between levy and tax?
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What is difference between levy and tax
Replies (4)
A levy is a temporary tax collected by federal, state or local governments and used for a stated public purpose. A taxpayer can be liable for various levies’ depending on their annual taxable income. In comparison, a tax is usually a general contribution imposed on individuals, properties or businesses collected into the government’s consolidated fund and allocated according to government budgets.
Source: Is it a levy, or is it a tax, or both?(Madeline Taylor) Australia
In India both the words are used synonymously.
Dear it is not giving me full clarity
Are you asking in Indian context?
The general meaning is explained in the link (https://epublications.bond.edu.au/cgi/viewcontent.cgi?article=1229&context=rlj)
A levy is an extra amount that is charged on things like fuel, but as a surcharge on top of the cost whereas a tax is a percentage of the total amount which is paid over.
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