The main thing is voter registration. Why is this surprising? Lists have to be compiled, or what is your ID to be checked against?
Income tax documents use your primary residence address, but you can just as well file your returns and pay through Internet, there is no formal link with local authorities.
The redistribution from the central State to local authorities, as far as I know, has no connection with income tax as such. It just comes out of the Treasury (afaik).
