Personal Finance-Chapter 7-Federal Income Tax

Tax evasion is a minor offense without any penalties.

• True
• False

Taxes that are redistributed by the government directly or indirectly benefit all citizens.

• True
• False

In the U.S., responsibility for paying income taxes rests with the individual.

• True
• False

Everyone pays the same amount in taxes.

• True
• False

If you have many deductions, it's a good idea to take the standard deduction.

• True
• False

Generally, a person cannot claim him or herself as an exemption if he or she is claimed as a dependent on another's tax return.

• True
• False

Our income tax system is based on voluntary compliance.

• True
• False

A dependent is a person who lives with you and receives more than half of his or her living expenses from you.

• True
• False

You must file a tax return to receive a refund of taxes withheld unnecessarily.

• True
• False

You can itemize deductions on Form 1040A

• True
• False