State law prohibits municipalities from having an amount of outstanding debt greater than 10% of the value of the taxable real estate within that municipality, with a few exceptions made for certain kinds of bonds, particularly those used to fund projects expected to make enough money to repay the bonds within a set time frame. Municipalities are also prohibited from enacting income taxes, but they may impose licensing fees on specific occupations, and the Virginia Supreme Court has held that such licensing fees can be adjusted upwards or downwards to reflect the level of income of a particular business.