Taxation Quiz

Which of the following is true?

• A tax is income received for being an entrepreneur.

• A tax is illegal.

• A tax is a required payment to the government.

• A tax is a payment for rent.

__________ is the tax that is paid by a company based on the amount of money that the company spends paying all of its employees.

• Income tax

• Sales tax

• Property tax

• Payroll tax

Kenley purchased a new pair of jeans to wear to a baseball game. The jeans were advertised for $35.00, but when Kenley paid for them at the register, her total ended up being $42.75. What type of tax was Kenley charged at the register? Enter your answer in the space provided.

Choose the word that makes each statement true. When people buy goods or services, there is often a (sales/property) tax included. Some taxes can be paid directly from a worker’s paycheck, like social security taxes. Social security tax is a type of (sales/payroll) tax.

Use a comma to separate your answers.

Tags

TEKS.MATH.7.3B

Maya's paycheck earnings before taxes is an example of _____________. Enter your answer in the space provided.

Jonathan's new clothes cost a total of $253.50 before tax. What type of tax does Jonathan have to pay for his new clothes? Enter your answer in the space provided.

Which of the following statements correctly defines property tax?

• A government tax is required on goods and services.

• A state or federal tax paid by an employer based on an employee's salary.

• A personal tax is charged on a person's annual income.

• A local government tax for real estate based on the value of a property

______________ is the total amount of money a person or company receives after deductions (taxes) or allowances are taken out. This is also referred to as take-home pay.

James and Neasie are having a conversation about income. They have different understandings of the terms gross income and net income. Explain the difference between gross income and net income.

Which of these statements about gross income and net income is true?

• Gross income is a tax paid by an employer based on a worker’s wages, and net income is a tax on all income a person earns.

• Gross income is the amount an employee is paid after deductions and taxes, and net income is the total amount an employee earns before deductions are applied.

• Gross income is a tax on all income that a worker earns, and net income is a tax paid by an employer based on a worker’s wages.

• Gross income is the total amount an employee earns before deductions are applied, and net income is the amount an employee is paid after deductions and taxes.