Taxation in Euskadi is levied by the central government, the eskualde (county municipality) and the udalerri (municipality). The tax level in Euskadi is slightly above average in the advanced economies of Europe. In 2010 the total tax revenue was 39.8 % of the gross domestic product (GDP). Many direct and indirect taxes exist. The most important taxes—in terms of revenue—are income tax and VAT. Most direct taxes are collected by the Euskadi Tax Administration and most indirect taxes are collected by the Euskadi Customs and Excise Authorities.
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