A property tax is a contribution, charge or tribute levied in a municipality on the performance of certain activities or the ownership of certain goods in order to obtain the financial resources to meet public expenses.
Territorial taxes are classified according to six basic types: industry and commerce patents, urban real estate, public shows, legal bets, vehicle patents and commercial advertising. It should be noted that the tax on industry and commerce patent changed its name to tax on economic activities.
Ideally, the territories should have the following taxes within their tax system: tax on economic activities of industry, commerce, service and similar activities, vehicle patents, real estate property tax, tax on commercial advertising or propaganda, tax on legal games and bets, and tax on alcoholic beverages.
It should be noted that the most important tax for the territorial areas is the tax on economic activities, which is why it was considered as an object of special attention for a detailed analysis in this research project.
Generated by the fact of practicing an industrial, commercial or similar activity within the jurisdiction of a given municipality, the rates are determined by the corresponding territorial ordinances, and vary according to the activity developed, generally establishing a rate on the profits (gross income) obtained by the taxpayer in an annual period.