Cities: Skylines 2- How To Manage Taxes [Answered]

Learn all about how you can manage taxes, which is a bit hard to do if you do not know what you are doing.

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November 19, 2023

2 minutes read

How To Manage Taxes In Cities Skylines 2

Managing Taxes is one of the most confusing aspects of City Skylines 2. Having a low tax rate can take your city into debt, and if the tax rate is too high, the citizens will not be happy. All the different areas, commercial, residential, industrial, and office workspaces, all have to be taxed differently. So, knowing how to manage taxes is essential for the the economy in Cities Skyline 2.

Key Takeaways

In Cities Skylines 2, you need to manage taxes to run your city.
Tax your citizens enough that you do not go bankrupt, but do not tax them to the point where they complain.
In Cities Skylines 2, you can set different tax rates for commercial, residential, and industrial zones.

How To Manage Taxes

Remember to keep taxes low at first and start increasing them slowly.
Keep The Residential taxes between 10% to 15%.
Keep Commercial, Offices, and Industrial taxes below or at 15%.

Make sure that once you set up a city, your taxes are low. Your city should have around 10,000 citizens before you start increasing the tax rate. Even then, take it slow and gradually increase the rate until you find the sweet spot, i.e the citizens are not complaining, and the government is not going broke.

The next thing to remember is that you should constantly check Chirper and the Demands tab. Make sure your citizens are not filing any complaints. If your citizens are happy, you are set. Play around with the tax rate until you find the right rate.

What To Avoid While Managing Taxes

Chirps — Chirp Towards The Right Of The Image [Screenshot Taken By Me]

The main goal when setting the amount of taxes should be reaching the estimated total as soon as possible This is an important key point to learn in order to manage taxes in Cities Skylines 2. The estimated total in the taxation tab should be positive, and if it is negative, the game will automatically start giving you government subsidies. You need to start making a profit from the taxes to stop getting these subsidies.

Educate Your Citizens

Education Levels [Screengrab Taken By Me]

The higher-educated people can be taxed way more since they have high-paying jobs and can easily afford them. Therefore, keep taxes for the uneducated low so they can afford education and prove to be an asset for your city later on. By doing this, your workplace efficiency will increase, your citizens will be happy, and you will see your city grow for the better.

For more on Cities Skylines 2, you can check out Asad Ahmed’s thoughts on the game in our Cities Skylines 2 Review. Also, gamers recommend using taxation as a source of income, as suggested on this Steam Community page.

That’s all you need to know on how to manage taxes in Cities Skylines 2. Other than that, if you have something to add, you can do so through the comment section down below.

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