Local Ad Valorem Tax Rate

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    jenny
    It is my understanding that an ad valorem tax is a tax on Value-Added. In this case, you could just apply the tax-rate increase to your total Value-Added impact results, then add that tax amount to your direct tax impacts.
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    gwatkins
    Okay, so do I understand correctly that IMPLAN does not calculate $ impact utilitzing local tax rates where the rates are sales tax or property taxes or otherwise?
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    jenny
    All the tax data used in the tax reports is from the Social Accounting Matrix (SAM) data. There are no tax rates per se. The IMPLAN tax impacts represents the historical distribution of collected indirect business taxes for the region based on data from the Census of Government Finance. Similarly for payroll taxes and income taxes, we have estimates of overall labor income and taxes paid on those incomes. In effect, we are estimating an overall average tax rate for each of the indicators. The tax data reflects actual tax receipts for the year of your IMPLAN data. Assuming that annual rate adjustments are reflected in the Census data, they will also be reflected in the IMPLAN data.
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