Tax Forms and Filing
What tax form do you file to determine if you owe or get a refund?
1040
What does “withholding” mean?
Money taken from your paycheck for taxes and benefits.
What is mandatory government spending?
Spending required by law (ex: Social Security, Medicare).
What is a “dependent”?
Someone you support financially who meets IRS rules.
“Keep the change, ya filthy animal!”
Home Alone
What form do you fill out when you start a job that determines your withholding?
W-4
What is the difference between gross pay and net pay?
Gross = before deductions; Net = take-home pay.
What is discretionary government spending?
Spending Congress chooses yearly (ex: defense, science).
True or False: You can claim a dependent AND they can still file their own taxes.
True
“The best way to spread Christmas cheer is singing loud for all to hear.”
Elf
What form tells you how much you earned and how much tax was withheld last year?
W-2
Which two taxes make up FICA?
Social Security + Medicare.
Name one thing federal taxes pay for that benefits you.
Schools, roads, military, health programs, etc.
What type of income might require a teen to file even if they earned very little?
Unearned income (interest, dividends, gifts, etc.).
“You’ll shoot your eye out!”
A Christmas Story
What is the deadline to file your taxes each year (unless extended)?
April 15
If too little money is withheld from your paychecks, what happens when you file?
You owe money to the IRS.
What is Social Security?
The Nations retirement program.
If you earn more than the minimum filing requirement, what must you do?
File a tax return
“Seeing isn’t believing. Believing is seeing.”
The Santa Clause
Name one reason someone might choose a tax professional instead of filing themselves.
Complicated taxes, self-employment income, audit concerns, many documents.
Name a withholding that is optional, not mandatory.
401(k) contribution, health insurance, etc.
List the three biggest federal expenses (as described in the review).
Health, National Defense, Social Security.
Why might someone file a tax return even if they aren’t required to?
To get a refund.
“Every time a bell rings, an angel gets his wings.”
It’s a Wonderful Life