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Ma2sonca7sNanejone
Ma2sonca7sNanejone Ma2sonca7sNanejone
  • 17-02-2016
  • Business
Answered

The two principles of taxation are the benefit principle and the ability-to-pay principle.

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meerkat18
meerkat18 meerkat18
  • 20-02-2016

Benefit principle - concept of taxation in public finance. It is said that whoever benefits more from public or government expenditure should pay more taxes to support the expenditure.

Ability-to-pay principle - progressive taxation wherein people earning more are subject to bigger taxes because they have the ability to pay more. Taxes should be levied according to the individual's ability to pay.

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