Trick or Taxes?
True or False? Tax deductions reduce taxable income, while tax credits are subtracted directly from taxes owed.
What is "True?"
What is the term for all the taxable income you receive?
What is "Gross Income?"
This form, filled out by the employee at the time of employment, is filed with each employer so that the correct amount of federal income tax is withheld from employees’ pay.
What is the "W-4 Form"?
This tax is levied by the Internal Revenue Service (IRS) on the annual earnings of individuals, corporations, trusts, and other legal entities.
What is the federal income tax?
Yes or No--Is it taxable? Wages, Salaries and Tips
What is "Yes?"
If you have paid more Federal Income Tax than you should have, then you will be receiving a _________.
What is a "Refund?"
This is the amount of income subject to taxation after deductions and exemptions are accounted for.
What is "Taxable income"?
One important tax document you will need to complete the filing of your Income Tax is your _____, which your employer must complete and send to you by January 31st.
What is the W-2 form?
This form reports an employee's annual wages and the amount of taxes withheld by their employer.
This deduction from a person paycheck is used to assist in funding government agencies within the state.
What is a "state withholding tax"?"
What is the deadline for filing federal income taxes in the United States?
April 15th (unless it falls on a weekend or holiday).
If you own a home or land you will be charged ________ tax.
What is "Property Tax"?
A person who lives with you and for whom you pay more than half of his or her living expenses.
What is a "dependent?"
All taxpayers must use one of three basic tax forms. Name two of these three tax forms.
What is Form 1040, Form 1040A or 1040EZ?
These types of taxes take a larger share of income as the amount of income grows. Federal Income Tax is an example.
What is "Progressive Taxes?"
Yes or No?--Is it taxable? Unemployment Compensation
What is "Yes?"
If an individual has a tax credit of $500 and a tax liability of $1,000, how much tax do they owe after applying the credit?
After applying the $500 tax credit, the individual would owe $500 in taxes ($1,000 tax liability - $500 tax credit).
The amount of money left after all the deductions have been taken from the gross pay is called...
What is "Net Pay"?
The purpose of a 1040 or 1040EZ form is to calculate taxable income and tax on that income: True or False.
What is "True"?
These types of taxes take a smaller share of income as the amount of income grows. Sales tax is an example.
What is "Regressive Taxes?"
On a national level taxes provide...(name 2 of the 6.)
What is salaries for congress, funds for National Defense, highways, wildlife refuges, welfare, and foreign aid?
True or false? If you are single and under the age of 65 and make at least $12,950, you must pay taxes.
What is "True"?
This is the range of incomes taxed at given rates, which typically differ depending on filing status. In a progressive individual or corporate income tax system, rates rise as income increases.
What is a "Tax bracket"?
Colleges and universities are supposed to give this form, used to report payments received and payments due from the student, to students by Jan. 31 of the calendar year following the tax year in which the expenses were paid.
What is the "1098-T form?"
These types of taxes are also called a "flat tax" because the rate stays the same regardless of income. Property tax is an example.
What is "Proportional Taxes?"
On a local level, taxes provide services such as... (name 2 of the 6)
What is education, parks, roads, and police, fire, and health departments?