Income Tax

Which of the following is an example of progressive tax in the United States?

• airport tax

• property tax

• sales tax

• income tax

Which of the following would reduce your taxable income?

• claiming a dependent on your W-2

• Having your retirement taken out of your check before taxes is withdrawn (tax diferment)

• Contributing to a "flex" savings account for medical or dental expenses.

• All of these would reduce your taxable income

Your taxes MUST be filed no later than...

• June 19th

• April 15th

• March 17th

• November 11th.

Which agency is in charge of collecting taxes and issuing tax returns?

• Federal Bureau of Investigation

• Naval Criminal Investigation Services

• Internal Revenue Services

• Behavioral Analysis Unit

Business and people pay income taxes. Both are

• regressive taxes

• progressive taxes

• proportional taxes

• personal taxes

What type of tax does the image illustrate?

• proportional

• flat

• regressive

• progressive

Which of the following forms will you receive each year from your employer to show how much was withheld from your check for taxes and other deductions?

• W-2

• W-4

• 1099

• 1040

Which of the following forms is the official tax form that you or your filing agent will complete each year for the IRS?

• W-2

• W-4

• 1099

• 1040

Which of the following forms will you complete when you get a job so that the payroll office knows how much to withhold for taxes?

• W-2

• W-4

• 1099

• 1040

What type of tax system does the U.S. primarily use?

• Proportional

• Flat

• Progressive

• Regressive

Answer explanation

The U.S. primarily uses a Progressive tax system where tax rates increase as income increases, making it the correct choice.