Unit 4: Income Tax

Jose Altuve for the Houston Astros makes $625,000 every year.  He has to pay taxes on the money his annual earnings. Which type of tax is that?

• Property Tax
• Income Tax
• Payroll tax
• Sales tax

Frank's parents own their house. Which type of tax will Frank's parents pay annually?

• Property Tax
• Payroll Tax
• Income Tax
• Sales tax

Income tax is-

• Money your employer pays to you
• Money you earn and put into the bank
• Tax paid on the money you earn annually
• Money you pay to your employee

The __________ collects taxes for the US Government

• ABC
• IRD
• IRS
• IDT

A tax on the sale or use of specific products or transactions is called an ______________ tax. 

• Excise
• Exercise
• Exhaust
• Emergency

What form do you fill out when you're first hired to indicate federal income tax withholdings?

• W-2

• W-4

• 1099

• 1040EZ

The principle of taxation in which people pay based on what they earn:

• pay as you earn principle

• ability to pay principle

• benefit principle

• allowance principle

The greatest sources of revenue for the federal government comes from

• gift tax

• sales tax

• income tax

• property tax

By what date must an employer mail your W-2

• January 15

• January 31

• April 15

• April 30

Which tax claims a greater percent of total income from people that make less money?

• regressive tax

• proportional tax

• progressive tax