Legal Definitions - capitation tax

A capitation tax, also known as a poll tax, is a type of tax levied as a fixed amount on each individual person (typically an adult) within a specific jurisdiction. Unlike income tax or property tax, a capitation tax does not consider a person's income, wealth, or ability to pay; everyone subject to the tax pays the exact same amount.

Here are some examples to illustrate this concept:

• Imagine a small, self-governing island community that decides to fund its basic public services, like waste collection and street lighting, by requiring every adult resident over the age of 18 to pay a flat fee of $150 per year. This fee is the same for everyone, whether they are a high-earning professional or a retiree living on a fixed income. This fixed charge per person, irrespective of their financial situation, is a clear example of a capitation tax.

• In a historical context, a monarch might have decreed that every male head of household in a particular province must pay a fixed sum of three gold coins to the royal treasury annually. This tax would be applied uniformly to all designated individuals, regardless of their landholdings, trade income, or personal wealth. The consistent amount demanded from each individual makes this a capitation tax.

• Consider a hypothetical scenario where a local government, aiming to support a new public library system, proposes a "Community Access Fee" where every adult resident registered to vote is assessed a flat $50 per year. This amount is identical for all registered adult voters, regardless of their personal income, the value of their property, or how often they plan to use the library. This uniform charge per person exemplifies a capitation tax.