We Talkin' Bout Taxes
What you have earned before anything is taken out.
Gross Income
Services or benefit deemed to be of high importance in the function of society that is provided by the government with tax revenue for the common good.
Essential Services
Tax adjustments that reduce the amount of income that you pay taxes on each year.
Adjustments
Taxes placed on specific items purchased by the public such gasoline, cigarettes, and alcohol.
Excise Taxes
The income received by the government through taxation.
Tax Revenue
Meaning “according to value;” this tax is a general term that includes property taxes and tariffs on imported items. The larger the value, the larger the tax paid.
Ad Valorem Tax
A portion of your income that is not subject to taxation, which helps to reduce your tax bill each year. The IRS sets this number each year and anyone can use it instead of itemizing deductions.
Standard Deduction
Tax on the assets (anything of value) received from a deceased person.
Inheritance Tax
Your gross after adjustments.
Adjusted Gross Income (AGI)
A tax on profits made by businesses during a specific time period.
Corporate Tax
Regardless of income level, everyone pays the same percentage of tax.
Proportional (Flat) Tax
A tax applied by means of imposing a uniform tax on goods and products. Those who have lower incomes pay a larger percentage of their income on taxable items.
Regressive Tax
An amount of money, calculated as a percentage, that is added to the cost of a product or service that you purchase, both in person, and online.
Sales Tax
Personal expenditures that can be deducted from your adjusted gross income instead of using the standard deduction amount set by the IRS.
Itemized Deductions
What the government uses to calculate the taxes you must pay.
Taxable Income
Type of property tax that is levied on property that includes land, buildings and other structures, and any improvements to the property.
Real property ad valorem tax
Type of property tax most commonly levied only on major personal property holdings, such as a car or boat.
Personal property ad valorem taxes
Provided by many local and state governments that are meant to provide free/affordable childcare for working parents.
Childcare Assistance Programs
Tax on money earned from a job including but not limited to wages, tips, and investment income.
Income Tax
This type of program helps provide affordable housing units, supplemental income for assistance for paying rent and designed to prevent homelessness in America.
Housing Assistance Programs
Provide credits that can be used in lieu of cash to purchase food items.
Food Stamps/SNAP Benefits
Defined as government programs that are designed to help citizens from economic risk.
Social Welfare Programs
This type of property includes items such as household appliances or clothing, is not usually subject to personal property taxes.
Incidental personal property
This type of tax is for those who have higher incomes and pay a larger percentage of their incomes to the tax. As you earn more you pay more in tax.
Progressive Tax
Our federal income tax structure is based on this type of rate. It is part of the progressive taxation system. This means for each income bracket you reach, the percentage of tax paid increases. Not all your income is taxed at the same rate.
Marginal Tax Rate