What is surtax? How to use in English

Definition & pronunciation of surtax

surtaxnoun

phụ phí

/ˈsɜːtæks//ˈsɜːrtæks/

Where does the word surtax come from?

The term "surtax" refers to a type of tax that is imposed in addition to the regular income tax. It was first introduced in the United Kingdom in the 1960s as a means to generate revenues for specific purposes, such as funding the National Health Service (NHS). The word "surtax" comes from the French "sur" meaning "above" or "extra" and "taxe" meaning "tax." The surtax was initially targeted at high-income earners, with higher rates applied to incomes over a certain threshold. It was initially seen as a progressive tax, but in the 1980s, it was abolished for most individuals and replaced with other forms of taxes that were more broadly applied. Currently, some countries, such as India and Australia, still have a surtax in place for higher-income taxpayers. However, these taxes are generally less significant than the main income tax rates and are used to fund specific projects or purposes.

Vocabulary summary surtax

typetransitive verb

meaningsurtax

meaningprogressive income tax

typetransitive verb

meaningadditional tax

Example of vocabulary surtaxnamespace

  • The government recently implemented a surtax on luxury imports to generate additional revenue for the welfare programs.
  • The corporate surtax will come into effect from next year in order to deter large corporations from avoiding taxes through offshore tax havens.
  • Some critics of the proposed surtax argue that it will be a significant burden on small businesses and hinder their growth.
  • The surtax aimed at high-income earners was initially introduced in the 1960s and has since been reinstated during periods of economic turmoil.
  • The surtax on sweetened beverages, aimed at reducing obesity and promoting healthier lifestyles, has been met with mixed reactions from the public.

Synonyms and related words for surtax

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