Taxes on goods and services (% of revenue)

This indicator reflects the share of government revenue derived from various taxation mechanisms applied to goods and services, encompassing a broad spectrum of levies such as value-added taxes (VAT), sales taxes, selective excise duties on specific commodities, and fees tied to the usage of property or resources. It also includes earnings from fiscal monopolies, which specialize in the production or sale of particular goods. Additionally, this measure serves as a crucial gauge of a nation's taxation policies and economic health, illustrating how effectively a government can leverage consumption to fund public services. Analyzing these figures provides insight into consumer behavior, economic activity, and the overall tax structure's efficiency, influencing fiscal strategies and governance. Source: