This paper discusses how every citizen of every country is liable to pay some amount of money towards its government who in turn utilize that money for giving public facilities to the citizens. It highlights the different tax philosophies of progressive as well as regressive tax and provides various examples of each type of tax. It also justifies the local property tax and its necessity in towns and cities.
"A tax is a fee charged by a government on a product, income or activity. It is a charge imposed by the government on people, entities, or on property in order to raise revenue. If tax is levied directly on personal or corporate income, then it is a direct tax. If tax is levied on the price of a good or service, then it is called an indirect tax. The purpose of taxation is to finance government expenditure. One of the most important uses of taxes is to finance public goods and services, such as street lighting and street cleaning. Since public goods and services do not allow a non-payer of tax to be excluded, or allow segregation by a consumer, there cannot be a market in the good or service, and so the market needs to be provided by the government or a quasi-government agency with funds, which tend to finance themselves largely through taxes."
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