Review Unit 10 Taxes

Who primarily uses our tax money?

• Your employer

• The state government

• The Federal government

• Local businesses

Our tax money is spent on all of the following EXCEPT:

• Social Security

• The Military

• Private School Education

• National Parks

Which of the following is NOT a category in the Federal government's spending?

• Mandatory spending

• Discretionary spending

• Interest on loans issued

• Interest on national debt

What types of taxes contribute to Federal tax revenue?

• Corporate Income Tax

• Income Tax

• Estate Tax

• Life Insurance Tax

The W-4 form lets...

• the government know how much you paid in taxes last year

• your employer know how much to withhold from your paycheck

• the 3 major credit bureaus know how many dependents you have

• you know how much you paid in taxes last year

Jess is 21, in college, & has a job that provides 65% of her support. Is she a dependent?

• Yes

• No

By claiming "exempt" on the W-4 form...

• You are paying all income taxes upfront at the START of the year

• You are saying that you do NOT meet the minimum income requirements to file

• You will NOT have income taxes withheld from your paycheck

• You are paying all income taxes at the END of the calendar year

Which of the following people might want to claim EXEMPT on their W-4 form?

• John, 20, earns $14,850 form internship

• Stacey, 16, earns $7,500 from part-time job

• David, 23, earns $15,000 from part-time job

• Hanah, 25, earns $55,000 from full-time job

Jason filed his 2021 tax return and owes money. If he doesn't want to pay a fee, when should he pay this amount by?

• April 15th

• October 15th

• December 31st

• January 1st of the next year

All wages, tips, and bonuses are taxable unless specifically excluded.

• True

• False