Tax/Fiscal Policy Review

Front

What tax provides the largest source of revenue for the federal government?

Back

federal income tax

Front

As your income goes up the percentage of taxes you pay goes up (what type of tax?)

Back

Progressive tax

Front

You pay the same percentage in taxes regardless of income level

Back

proportional tax

Front

As your income goes up, the percentage of income spent on taxes goes down.

Back

regressive tax

Front

How do state and local governments typically generate revenue to pay for education, law enforcement, and fire protection services?

Back

property and sales taxes

Front

Which of the statements below is TRUE about filing your taxes, assuming your only income comes from the salary you earn at BigTech Company?
Options:
You need to file your tax return by the end of the calendar year (typically December 31st)
If your employer takes out federal income taxes through payroll withholdings, you do not need to file a tax return
You must file your tax return by April 15th of the following year or request an extension by that date
You do not need to pay any income taxes until April 15th, so you should ask your company to wait until after that date to withhold any money

Back

You must file your tax return by April 15th of the following year or request an extension by that date

Front

What is a "dependent" for tax purposes?

Back

Someone under the age of 19 who you financially support.

Front

IRS stands for

Back

Internal Revenue Service

Front

Total money you earn before taxes and other deductions.

Back

Gross income

Front

The tools of fiscal policy are...

Back

Taxes and Government spending