What are the canons/principles of taxation?

What are the canons/principles of taxation?

  • Convenience, the timing for payment of tax should be appropriate to the tax payer for instance the farmer should pay after harvesting.
  • Flexibility/elasticity, the tax levied from the tax payers should change according to the changes in the prevailing economic conditions in the country.

  • Certainty, the tax payer should know when he is supposed to pay, how much and where he is supposed to pay the tax.
  • Economical, the cost of collection and administration of the tax should be lower than the expected revenue.
  • Productivity, the taxes levied should generate enough revenue to the government and should not affect the economic activities of the country.
  • Simplicity, the tax should be easy to understand by the tax payer and tax collector.
  • Equity, taxes should be assessed with fairness to enable the tax payers meet their obligations.
  • Diversity, various taxes should be levied to enable the government raise up enough revenue.
  • Neutrality, the tax imposed should not discriminate amongst tax payers basing on religion, tribe and any other social or political considerations.

Political acceptability, the tax levied from the tax payers should not cause political unrest in the country.


Published by


IAM experienced geography teacher with more than three years of teaching and creating content related to geography and other subjects for both high school and college students. hope you will find the content of this website useful to your studies and daily life

%d bloggers like this: