What is meant by Taxable Capacity ? Explain the types of taxable capacity.
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Absolute Taxable Capacity: If refers to the maximum amount which can be collected from a community, without causing any unpleasant effects. In other words, it constitutes the extent or limit up to which the state can impose taxes upon individuals or group of individuals.
Absolute Taxable Capacity: If refers to the maximum amount which can be collected from a community, without causing any unpleasant effects. In other words, it constitutes the extent or limit up to which the state can impose taxes upon individuals or group of individuals.
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Explanation:
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Carrying capacity can be defined as a species' average population size in a particular habitat. The species population size is limited by environmental factors like adequate food, shelter, water, and mates.
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