A tax on the privilege of removing such natural resources as coal, oil, timber, and gas from the land is known as ________ tax.

Question

Quizplus · Accepted Answer

A tax on the privilege of removing natural resources from the land is known as a "severance tax." Such taxes are usually levied on the company or individual engaged in the extraction process and are intended to compensate both the state and local governments for the depletion of their natural resources.

A Tax on the Privilege of Removing Such Natural Resources