TAxes Part II Assessment

Congress has the right to collect taxes for which TWO of the following?

• Defense

• Invest in Stocks

• General Welfare of the people

Which Amendment gave Congress the right to collect Income Taxes?

• 14th

• 15th

• 16th

• 17th

The U.S. Constitution gives ____________ the right to collect taxes.

• President

• Vice President

• Congress

• Supreme Court

If you are married and earn $ 90,000 you are in which tax bracket?

• 10%

• 22%

• 24%

• 35%

The tax you pay when you buy a car.

• Excise tax
• Sales tax
• Property tax
• Gift tax

The tax system where everyone pays the same percentage regardless of what they make. So if you made $80,000 or $8 million dollars, you each only pay 15%.

• Regressive

• Progressive

• Flat

• Perfect

The tax system that assigns higher tax rates to people with higher incomes. Preferred by the poor. This is how income tax is currently set-up. Rates are currently between 10%-37%.

• Regessive

• Progressive

• Flat

The two credits you can receive for higher education or training. (CHOOSE TWO ANSWERS)

• American Opportunity Credit

• Earned Income Credit

• Lifetime Learning Credit

• Child Tax Credit

How can tax credits and tax deductions lower your overall tax burden?

• By reducing the amount of tax you owe

• By increasing your taxable income

• By increasing the amount of tax you owe

• By reducing your taxable income

Match the following

• Form from educational institution

• W2

• Basic Tax Return Form

• 1099

• Receive every January from each employer, states income and taxes paid

• 1040

• Form you have to fill out if did not have taxes taken out of your paychecks

• 1098T