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Tax - the obligatory, individually gratuitous payment levied by public authorities of various levels from the organizations and physical persons with a view of financial maintenance of activity of the state or municipal unions. Since ancient times money levied by taxation were used to carry out functions, like expenses on war, the enforcement of law and social order, social engineering, economic infrastructure, protection of property, and the work of government itself. Governments also use taxes to fund welfare and public services. These services can include education systems, health care systems, and pensions for the elderly, unemployment benefits, and public transportation. In other words, taxation has four main purposes or effects: Revenue, Redistribution, Repricing, and Representation.

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