EPF Unit 2 (6) Pre-Assessment

How does the government pay for roads, schools, and emergency services? EPF.IE.2.2

• They are funded through charitable donations.

• They are funded through non-profits.

• They are funded through taxes.

• None of the above

Why is it necessary to have a W-2 or 1099 form when preparing your tax return? EPF.IE.2.3

• They highlight job performance which can reduce your tax rate.

• They include passwords for tax preparation software.

• These forms report income which needs to be used to file taxes.

• They show how much you have donated to charities.

______ taxes may vary from state to state. These are taxes paid to the Treasury of the State.

• Income tax

• Sales tax

• Property tax

• Excise tax

What do our tax dollars pay for ?

• Roads, schools, and emergency services

• Healthcare and social programs

• Defense and military operations

• All of the above

A W-4 form indicates to your employer,how much money you would like to ________.

• Donate to charity

• Contribute to retirement savings

• Withhold for taxes

• Invest in stocks

The amount of money you're paid, after all taxes and deductions are taken out of your paycheck is called ________. EPF.IE.2.1

• Gross pay

• Net pay

• Taxable income

• Disposable income

Why is it useful to have your bank account and routing numbers when using tax preparation software? EPF.IE.2.3

• To indicate where tax refunds should be sent.

• To show how much interest you have earned over the year.

• To use as additional forms of identification.

• To show how much money you have paid in taxes.

Each year you must file ________ taxes and ________ taxes. It is mandated by the federal government and some states require it.

• Federal, state

• State, local

• Local, federal

• Income, property

When preparing your taxes, what can possibly help reduce the amount of taxes that you owe? EPF.IE.2.3

• Stock and savings interest

• Sharing what you earned on a W-2 or 1099 form

• Having stock dividends

• Credits and deductions

Your employer sends you a _______ form that tells you how much you've made and how much you've paid in taxes in the last year. EPF.IE.2.3

• 1040

• W-2

• W-4

• W-9