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Tax Farming
Farming or tax-farming is a technique of financial management in which the management of a variable revenue stream is assigned by legal contract to a third party and the holder of the revenue stream receives fixed periodic rents from the contractor. It is most commonly used in public finance, where governments (the lessors) lease or assign the right to collect and retain the whole of the tax revenue to a private financier (the farmer), who is charged with paying fixed sums (sometimes called "rents", but with a different meaning from the common modern term) into the treasury. Sometimes, as in the case of Miguel de Cervantes, the tax farmer was a government employee, paid a salary, and all money collected went to the government. Farming in this sense has nothing to do with agriculture, other than in a metaphorical sense. Etymology There are two possible origins for ''farm''. Derivation from classical Latin Some sources derive "farm" with its French version ''ferme'', most notabl ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Financial Management
Financial management is the business function concerned with profitability, expenses, cash and credit, so that the "organization may have the means to carry out its objective as satisfactorily as possible;" the latter often defined as maximizing the value of the firm for stockholders. Financial managersFinancial Managers (FM) are specialized professionals directly reporting to senior management, often the financial director (FD); the fun ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |