Personal Finance- Chapter 10 Taxes

Withholdings and Deductions are...

• Examples of Deficit Spending

• Expenses that are taken out of your paycheck

• Categories of a good budget

• money that the government gives back to you

The tax on the purchase of goods or services is called...

• Consumption Tax

• Purchase Tax

• Minimum Wage

• Income Tax

The money you earn hourly for your time and effort at work:

• Wages

• Salary

• Minimum Wage

• Income Tax

What does the Form W-4 estimate?

• how much tax you'll owe based on your current situation

• how much income you should be making

• how much money you will spend in that fiscal year

• how many tax returns you need to submit

Every American who earns an income must file a ____ each year

• Tax deduction

• Paycheck

• Tax Extension

• Federal tax return

If you work and earn money, you will have to pay taxes.

• True

• False

When you make ____ money, you will pay ____ in taxes.

• More; more

• More; less

• Less; more

• More; same amount

When you buy clothes or check out at the grocery store, you will pay ____

• with your tax credit card

• sales tax

• excise tax

• income tax

A fixed, annual rate of pay that doesn't change by working more or fewer hours is called...

• Salary

• Hourly wages

• passive income

• commission

When someone says they need to file their taxes, they're talking about filling out a...

• Form W-4

• Tax Liability

• Federal Tax Return

• Tax Bracket