contingency tax

American  

noun

1. any new tax that would be necessary in case of a shortfall in revenues.

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Example Sentences

Colorado's William Armstrong, speaking for the more conservative members, remained adamant against even the contingency tax increases that the Administration proposed, which would take effect in 1985 if deficits are still high and there is no recession.

From Time Magazine Archive

When the White House was preparing its budget message early last year, Feldstein and Stockman helped persuade the President, over objections from the supply-siders, to propose a contingency tax designed to boost revenues in 1985 if the deficits were still too high.

From Time Magazine Archive

Another plan is to propose a consumption tax, such as the value-added tax, in place of the contingency tax.

From Time Magazine Archive

One idea is to reintroduce the "contingency tax," which the President put into the 1984 budget but never formally proposed.

From Time Magazine Archive

In January, the Administration proposed a contingency tax of $5 per bbl. on both imported and domestic oil that would take effect in 1985 if the deficit is still huge.

From Time Magazine Archive