{"id":360155,"date":"2026-04-06T14:23:12","date_gmt":"2026-04-06T08:53:12","guid":{"rendered":"https:\/\/forumias.com\/blog\/?p=360155"},"modified":"2026-04-06T14:23:12","modified_gmt":"2026-04-06T08:53:12","slug":"ad-valorem-duty","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/ad-valorem-duty\/","title":{"rendered":"Ad Valorem Duty"},"content":{"rendered":"<p><strong>News<\/strong>: U.S.A recently\u00a0announced a 100% Ad Valorem Duty on the import of patented pharmaceuticals\u00a0and associated ingredients from 31st July 2026.<\/p>\n<h2>About Ad Valorem Duty<\/h2>\n<figure id=\"attachment_360157\" aria-describedby=\"caption-attachment-360157\" style=\"width: 405px\" class=\"wp-caption aligncenter\"><img data-recalc-dims=\"1\" loading=\"lazy\" decoding=\"async\" class=\" wp-image-360157\" src=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2026\/04\/Screenshot_6-4-2026_13504_www.investopedia.com_.jpeg?resize=405%2C204&#038;ssl=1\" alt=\"\" width=\"405\" height=\"204\" srcset=\"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2026\/04\/Screenshot_6-4-2026_13504_www.investopedia.com_.jpeg?resize=300%2C151&amp;ssl=1 300w, https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2026\/04\/Screenshot_6-4-2026_13504_www.investopedia.com_.jpeg?w=738&amp;ssl=1 738w\" sizes=\"auto, (max-width: 405px) 100vw, 405px\" \/><figcaption id=\"caption-attachment-360157\" class=\"wp-caption-text\">Source: Investopedia<\/figcaption><\/figure>\n<ul>\n<li><span style=\"font-weight: 400;\">Ad valorem duty is a<strong> tax imposed depending on the monetary value of an item or property.<\/strong><\/span><\/li>\n<li><b>How it is levied: <\/b><span style=\"font-weight: 400;\">It is levied<strong> as a percentage of the assessed value of the item or property,<\/strong> also referred to as the<strong> fair market value.<\/strong> It is defined as the value of the property as objectively determined by the marketplace.<\/span><\/li>\n<li><span style=\"font-weight: 400;\">It ensures<strong> that those with more valuable property pay more in taxes,<\/strong> establishing a sense of equity in tax contribution.<\/span><\/li>\n<li><b>Types of ad valorem tax:<\/b> The primary types include:\n<ul>\n<li><b>Property Tax:<\/b><span style=\"font-weight: 400;\"> It is <strong>charged on real estate<\/strong> according to its assessed market value. Local governments commonly use this tax to support public services like schools and infrastructure.<\/span><\/li>\n<li><b>Sales Tax: <\/b><span style=\"font-weight: 400;\">It is<strong> imposed on the purchase of goods and services as a percentage of the selling price<\/strong>. The exact rate differs depending on the location.<\/span><\/li>\n<li><b>Customs Duties: <\/b><span style=\"font-weight: 400;\">It is<strong> levied on imported products,<\/strong> with the tax amount determined by the value of the goods.<\/span><\/li>\n<li><b>Excise Tax: <\/b><span style=\"font-weight: 400;\">It is <strong>applied to particular items<\/strong> such as alcohol or tobacco. It is often built into the product\u2019s price and may be based on value or quantity.<\/span><\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<table style=\"width: 100%; border-collapse: collapse; border-style: solid;\">\n<tbody>\n<tr>\n<td style=\"width: 100%;\">\n<h2>About Specific Tax<\/h2>\n<ul>\n<li data-start=\"14\" data-end=\"86\">Specific tax is a <strong>fixed amount tax based on the quantity of unit sold, irrespective of the value o the item.\u00a0<\/strong><\/li>\n<li data-start=\"14\" data-end=\"86\"><strong>How it is levied: It<\/strong><span style=\"font-size: inherit;\">\u00a0is levied<strong> based on the volume of the item purchased.<\/strong><\/span><\/li>\n<li data-start=\"14\" data-end=\"86\">Example: Excise duty on cigarettes is imposed per pack instead of being calculated as a percentage of the price.<\/li>\n<li data-start=\"14\" data-end=\"86\"><strong>Difference between Ad Valorem Duty and Specific Tax:<\/strong> Ad valorem duty is calculated <strong>as a percentage of the assessed value<\/strong> of an item, whereas specific tax is a <strong>fixed amount<\/strong> charged per unit of a goods, regardless of its price<\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n","protected":false},"excerpt":{"rendered":"<p>News: U.S.A recently\u00a0announced a 100% Ad Valorem Duty on the import of patented pharmaceuticals\u00a0and associated ingredients from 31st July 2026. About Ad Valorem Duty Ad valorem duty is a tax imposed depending on the monetary value of an item or property. How it is levied: It is levied as a percentage of the assessed value&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/ad-valorem-duty\/\">Continue reading <span class=\"screen-reader-text\">Ad Valorem Duty<\/span><\/a><\/p>\n","protected":false},"author":10366,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1566,3127,12039],"tags":[11872,10500],"class_list":["post-360155","post","type-post","status-publish","format-standard","hentry","category-daily-factly-articles","category-economy","category-knolls","tag-9pm-daily-factly","tag-indian-express","entry"],"jetpack_featured_media_url":"","views":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/360155","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10366"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=360155"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/360155\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=360155"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=360155"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=360155"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}