Tax/Fiscal Policy Review

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

• federal income tax

• sales tax

• property tax

• tariffs

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

• Progressive tax

• Proportional tax

• Regressive tax

• None of the aove

You pay the same percentage in taxes regardless of income level

• progressive tax

• proportional tax

• regressive tax

• None of the above

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

• progressive tax

• proportional tax

• regressive tax

• none of the above

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

• property and sales taxes

• payroll and insurance taxes

• corporate and business taxes

• lotteries and municipal bonds

Which of the statements below is TRUE about filing your taxes, assuming your only income comes from the salary you earn at BigTech Company?

• 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

Which of the following describe what a "dependent" is for tax purposes?

• Someone under the age of 19 who you financially support

• Someone who is temporarily disabled

• Someone who financially supports you

• Someone who is a full-time student under the age of 30

IRS stands for

• Internal Revenge Service

• International Revenue System

• Internal Revenue Service

• Inspection Ravioli Sauce

Total money you earn before taxes and other deductions.

• Salary

• Net income

• Gross income

• Wages

What do you need to file your 1040 or 1040EZ form?

• Your W-2

• Your W-4

• Your prior year's tax return

• Social Security Number