Vocab 1
Plan for major expenses.
Capital Budget
A mandatory payment to the government
Tax
Plan for day-to-day expenses.
Operating Budget
12-month period for which an organization plans its expenditures.
Fiscal Year
When total revenue is equal to total spending.
Balanced Budget
The uses of taxes to influence economic behavior.
Tax Incentive
Revenue
Total amount of outstanding debt for the federal government
National Debt
Based on an individual's income from all sources
Individual Income Tax
Based on the value of goods and services at the time of sale
Sales Tax
Taxes go up the lower your income.
Regressive Tax
Those who use a government service should support it
Benefits-Received Principle
Takes a larger percentage rate of higher incomes than of lower incomes.
Progressive Tax
Federal Government funding sent to state/local governments.
Grant-in-Aid
Takes the same percentage of income from ALL taxpayers
Proportional Tax
Tax on assets given by one living person to another.
Gift Tax
A form used to report income and taxes owed to the government.
Tax Return
Plan for spending federal tax money.
The part of the economy owned by individuals or businesses.
Private Sector
The ease by which taxpayers understand a tax and by which it is collected.