ad valorem duty; ad valorem tax
A tax or duty calculated as a percentage of the value of the goods, as opposed to a fixed amount per unit. Used in economics, trade, and customs contexts.
Imported goods are often subject to ad valorem duties.
Ad valorem tax rates are determined based on the price of the goods.
Compound of 従 (ju, 'according to') + 価 (ka, 'value') + 税 (zei, 'tax'). The term is a direct translation of the English 'ad valorem tax'.