Local taxes are imposed by lower levels of government, such as state, provincial, county or city governments, in countries with central or federal governments. These taxes are often referred to as "local" taxes. They play a crucial role in funding public services and infrastructure at the local level. Examples of local taxes include property taxes, sales taxes, and income taxes. Understanding the different types of local taxes and how they are used can help individuals make informed financial decisions and contribute to a well-functioning economy.