What is the process by which one unit of government yields a portion of its tax income to another unit of government according to an established formula is called?

The process by which one unit of government yields a portion of its tax income to another unit of government according to an established formula is called revenue sharing. This practice allows for the distribution of funds from a higher level of government (such as federal or state) to lower levels (such as local governments) to help support various public services and initiatives. Revenue sharing aims to reduce disparities in funding and ensure that local governments have the necessary resources to meet their needs.