Taxes

Front

What is a dependent in tax terms?

Back

A dependent is a person whom a taxpayer supports financially, such as a child or spouse.

Front

What does IRS stand for?

Back

IRS stands for Internal Revenue Service.

Front

Should you round off your tax amounts?

Back

Yes, the IRS encourages you to round off to whole dollars.

Front

What is the fastest way to receive your tax refund?

Back

Direct Deposit is the fastest way to receive your tax refund.

Front

If you have more than one job, what should you do with your W-2s?

Back

You should add all your W-2s information and put it on one form.

Front

What is the purpose of filing a tax return?

Back

The purpose of filing a tax return is to report income, calculate taxes owed, and claim refunds.

Front

What is a W-2 form?

Back

A W-2 form is a document that an employer sends to employees and the IRS, detailing the employee's annual wages and the taxes withheld.

Front

What is the difference between a tax credit and a tax deduction?

Back

A tax credit reduces the amount of tax owed, while a tax deduction reduces the amount of income that is subject to tax.

Front

What is the standard deduction?

Back

The standard deduction is a fixed dollar amount that reduces the income on which you are taxed.

Front

What is taxable income?

Back

Taxable income is the amount of income that is subject to tax after deductions and exemptions.