Taxes/Government
While federal and state governments are funded by income taxes, your _______ government relies heavily on property taxes to fund local public schools.
What is local?
If a state government wants to fund a new highway project but realizes its current tax revenues won't cover the costs, it may choose to temporarily increase this specific type of tax levied on real estate and land.
What is property tax?
When a government experiences a sudden economic recession and tax revenues drop, they must either cut public spending or risk losing this perfectly balanced financial status.
What is balanced budget?
Governments enforce a system to "withhold" payroll taxes from every paycheck throughout the year for this primary reason, rather than sending citizens one massive bill in April.
What is payroll tax?
A government achieves this specific financial state when its total revenues perfectly match or exceed its total spending for the year.
What is a balanced budget?