Tax authority refers to the legal power of a government to impose and collect taxes. In Canada's constitutional framework, federal and provincial governments have broad taxation powers while municipal tax authority is limited to what provinces delegate. Municipal tax authority primarily includes property taxation, which provinces authorize through municipal legislation. Municipalities typically cannot impose sales taxes, income taxes, or most other tax types without provincial authorization. The limited nature of municipal tax authority is a persistent concern for local governments facing increasing responsibilities. Municipalities advocate for additional revenue tools (like hotel taxes or vehicle registration fees) to diversify revenue beyond property taxes. Provincial decisions about municipal tax authority significantly shape local government fiscal capacity.