Loans
What is a loan
Money borrowed by a person paid back with interest.
What are taxes used for
Public services
What are taxes
A payment to the government to pay for public services.
What is interest
Extra money paid back with a loan
a way to reduce taxes
Donating
A tax paid to a state
State tax
What is principal
The amount of money borrowed
Money taken away form taxes
Tax credits
A tax paid to the government
Federal Tax
What is a grant
Borrowing money without paying back interest
Would federal or state taxes be used to make a new road.
State taxes
Why did the US start to tax?
Because of a debt to the French after the American revolution
What is an EFC
Estimated family contribution.
What is a part of FICA
Social Security and Medicare
A fancy word for income tax
Withholdings