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Large signs like this one in Sunnyvale, California are often posted on arterial roads at the city limits of wealthy American cities.

The term city limits (or city proper, city boundary) refers to the defined boundary of a city.

In the United States, such limits are usually formally described in a state or territorial law (or an appropriate regulation) as being under the control of the municipal corporation or agency that constitutes the city government. It is customary to indicate city limits with the posting of signs on major freeways, highways, and boulevards.

Property which falls within city limits is subject to city taxation and city regulation, and expects city services. In some U.S. states, areas outside of any city's limits are considered to be unincorporated, and by default they are regulated and taxed by the county. In others, areas outside of city limits fall within another type of local government, such as the civil township.

The terms town limits and village limits mean the same as city limits, but apply to towns and villages.

City, town, and village limits are not necessarily coterminous with post office locations or school districts.

In the UK, city boundaries are more difficult to define, since British cities are defined as any town - regardless of size - that has been granted letters patent. In smaller cities such as Wells (pop. approx. 10,000) or Gloucester (pop. approx. 100,000) the boundary will be that governed by the city council. In the case of larger cities such as Birmingham (pop. approx. 1,000,000), a specific metropolitan borough will make the definition. Some cities such as Hereford which share a unitary authority with their entire county may have no formal boundary definition at all, although they may retain welcome signs on approaching roads at traditional boundary points defined by former city councils - or occasionally defined by intact, ruined or long disappeared fortified outer castle walls.

Although British city boundaries are often important for defining local services such as refuse collection and planning (zoning), they play little or no role in law enforcement, schools, libraries or hospitals. Police jurisdiction and local services are generally defined by county boundaries, and people in one county may usually decide to use hospitals, libraries and schools in another without incurring any fees.

There is no concept of local taxation in the UK, other than minor differences between Northern Ireland, Scotland and England and Wales. Local government councils derive their income from council tax and business rates, taxes based on the values of buildings.

Planning (zoning) law around British cities is generally determined by green belt laws, which prevent building on the countryside immediately surrounding large and medium-sized towns and cities. It is commonly but mistakenly believed amongst British city dwellers that the entire countryside is green belt since they seldom venture further than the immediate outskirts of their city; in fact the vast majority of British countryside does not fall within any green belt.