Wiktionary
n. A tax that is assessed as a proportion of the value of the property being taxed.
WordNet
n. a tax levied on the difference between a commodity's price before taxes and its cost of production [syn: VAT, value-added tax]
Wikipedia
An ad valorem tax ( Latin for "according to value") is a tax whose amount is based on the value of a transaction or of property. It is typically imposed at the time of a transaction, as in the case of a sales tax or value-added tax (VAT). An ad valorem tax may also be imposed annually, as in the case of a real or personal property tax, or in connection with another significant event (e.g. inheritance tax, expatriation tax, or tariff). In some countries a stamp duty is imposed as an ad valorem tax.
Usage examples of "ad valorem tax".
That is the one grim truth of this election most likely to come back and haunt us: The options were clearly defined, and all the major candidates except Nixon were publicly grilled, by experts who demanded to know exactly where they stood on every issue from Gun Control and Abortion to the Ad Valorem Tax.
Checkbook, journal, ledger, inventory sheets, payroll, withholding, state sales tax, ad valorem tax records.