Tax WTF???

[TechiCat]

So can somebody please explain the way the taxes work in the game? I don't want to expect it to work much like real life, because games rarely resemble actual life. Are low taxes generally better than high to promote growth? I know high taxes gives us more revenue, but too high drives growth down. Furthermore, what's the difference between the Tax Policies of Tax Raise or Tax Relief to adjusting the numbers per district?

[kristofburger]

Originally posted by TechiCat:

Furthermore, what's the difference between the Tax Policies of Tax Raise or Tax Relief to adjusting the numbers per district?

That's basically what it is, a simple switch to make small tax rate adjustments per district if you don't want to make it citywide.

[TechiCat]

Okay, that makes sense. But my other question remains: What's better? Higher or lower taxes?

In real life, lower taxes drives growth and business (less outsourcing when it's cheaper to keep jobs in the country) and promotes more residental growth.

In the Sim City days, higher taxes drives more growth because it people were willing to pay more to take care of their property.

[grapplehoeker]

Originally posted by TechiCat:

Okay, that makes sense. But my other question remains: What's better? Higher or lower taxes?

In real life, lower taxes drives growth and business (less outsourcing when it's cheaper to keep jobs in the country) and promotes more residental growth.

In the Sim City days, higher taxes drives more growth because it people were willing to pay more to take care of their property.

Once again... try not to confuse CS with reality, nor with the game rules of any other game.
In CS, the Cims do not own anything, except for their magical pocket vehicles.
They do not even earn an income.
The 'tax' they pay is essentially just rent for living in the city. It is only based on the value of the home in which they live and the rate at which you, the mayor, set it to.
Considering how easy it is to bring in a healthy positive revenue, there isn't any need to adjust the taxes from their default 9%. You should be able to amass more wealth to fund any ambitious building projects and still have plenty to spare.

[Pops]

Stuff em, tax em at 12%, the max you can before they get upset, lol,

[SkiRich]

The tax function is pure BS. Like the car driving AI, the Tax AI is so basic with no real life mechanics.

First thing you do when you can adjust taxes, is set them all to 11%
That is the break point of when cims and industry complain about taxes. Go any higher and they ♥♥♥♥♥, any lower and you are leaving money on the table.

Don't bother to use the tax increase/decrease policies either, not worth it it just moves the number up or down 2%, just tax everyone at 11%

You would think that you can get creative with taxes as your city grows and turns into an urban tax hell, but no, the mechanics above are exactly how it work.

What I have found usefull is if you need a quick hit in income to buy something and you are short funds, tax everyone at 66% and fast forward the game a few days. Get your cash and lower the taxes to 11% before everyone moves out. Pat yourself on the back as well because you just successfully mimicked the Peoples Republic of New York's tax strategy.

[Scanz]

Originally posted by SkiRich:

The tax function is pure BS. Like the car driving AI, the Tax AI is so basic with no real life mechanics.

First thing you do when you can adjust taxes, is set them all to 11%
That is the break point of when cims and industry complain about taxes. Go any higher and they ♥♥♥♥♥, any lower and you are leaving money on the table.

Don't bother to use the tax increase/decrease policies either, not worth it it just moves the number up or down 2%, just tax everyone at 11%

You would think that you can get creative with taxes as your city grows and turns into an urban tax hell, but no, the mechanics above are exactly how it work.

What I have found usefull is if you need a quick hit in income to buy something and you are short funds, tax everyone at 66% and fast forward the game a few days. Get your cash and lower the taxes to 11% before everyone moves out. Pat yourself on the back as well because you just successfully mimicked the Peoples Republic of New York's tax strategy.

its sux
padarox fix pls

[Stealthy]

I always tax everything at 12% and no problems on city growth or anything like that. 13% will start to give some complaints but doesn't affect that much. Dropping them lower doesn't really change that much either.

[SkiRich]

Originally posted by Stealthy:

I always tax everything at 12% and no problems on city growth or anything like that. 13% will start to give some complaints but doesn't affect that much. Dropping them lower doesn't really change that much either.

I did that too but found that at about 35k or 40k cims with a large industrial district cims start to complain about that dumb 1%. It starts with the low residentials, then the office then commercial then everyone. 12% only lasts for so long. 11% never an issue so far.

[Stealthy]

I'm at 130k people at the moment, no issues on 12%.

[SkiRich]

Originally posted by Stealthy:

I'm at 130k people at the moment, no issues on 12%.

Lucky. There must be another variable I hit.

[TechiCat]

lol these responses are awesome. Thanks everyone! I wasn't sure what to expect with the tax policies or how far I can squeeze my Cims for money before they pop.

[~Panda]

Tax affects happiness.

Lower tax = more happiness.

If land value is low, you want lower taxes (if you don't, or can't for hwatever reason, provide more parks & services)

Higher land value they'll be happy to pay more tax.

The tax system is quite simplistic. I hope a future DLC adds more economic depth.

I usually have my global taxes at 10-11-12 (or high dense 12-13-14) going from res-com-ind, that way i have a little breathing space to set higher or lower taxes per district via tax policy depending on their happiness levels and land value.

[SkiRich]

Originally posted by Cmdr McTosh:

Tax affects happiness.

Lower tax = more happiness.

If land value is low, you want lower taxes (if you don't, or can't for hwatever reason, provide more parks & services)

Higher land value they'll be happy to pay more tax.

The tax system is quite simplistic. I hope a future DLC adds more economic depth.

I usually have my global taxes at 10-11-12 (or high dense 12-13-14) going from res-com-ind, that way i have a little breathing space to set higher or lower taxes per district via tax policy depending on their happiness levels and land value.

That explains my variable. Thanks.

[Whirl]

Keep it at around 12% most of the time. Then every so often, when you need a little cash fast, give it a bump (plus Tax Raises) to the full. Your income will skyrocket.

Your influx of people will plummet rapidly, of course, and the main complaint will be that taxes are too high. Hold it there for about a week, or until the influx hits negative numbers, then lower it back to 12% again, and your numbers will return to normal, but you'll have the money to buy that desperately needed Crematorium, or your own Stadium.

Do this whenever you need a boost for big buildings, to save a lot of time.