Business taxes now reach the cities where activity happens
Payroll and corporate taxation now distinguish national and municipal shares, while preserving the existing combined default burden.
Tax revenue now follows the business activity that created it:
- Payroll tax is shared between the nation and the municipality where the employee's workplace is located. - Corporate tax keeps a national assessment while allocating its municipal share across the corporation's revenue-generating business locations. - Headquarters payroll contributes to the HQ city, but an HQ does not create a municipal corporate-income allocation by itself. - Retail, services, hotels, freight, construction, finance, production, and player-to-player sales now use consistent, traceable tax sources.
Existing default combined payroll and corporate burdens have not been increased: the new municipal share was moved out of the national rate. National and municipal governments can still adjust their own portions through the political system, subject to the combined safeguards.