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Canons Of Taxation

EQUITY– This implies that every tax payer should pay in proportion to his income. It is based on the payer’s ability to pay. CERTAINTY– This implies that the taxpayer must know the time of payment, the manner of payment as well as the amount of tax to be paid. CONVENIENCE– This implies that the time and manner of payment should be convenient to the tax payer. ECONOMY– This implies that the cost of collecting tax should be as minimum as possible. SIMPLICITY– This implies that tax should not be complicated; it should be simple and intelligible to the average taxpayer.
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