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Worksheets

Tax Types and Documents

Total questions: 24

Worksheet time: 12mins

Name
Class
Date
1.

What are the types of taxes a person might pay?

Check all that apply.

a)

Sales tax

b)

Natural tax

c)

Income tax

d)

Property tax

e)

Birth tax

2.

Which of these is a progressive tax?

a)

airport tax

b)

income tax

c)

property tax

d)

sales tax

3.

Who primarily uses our tax money? (hint: choose 2 correct answers)

a)

Your employer

b)

The state government

c)

The Federal government

d)

Local Businesses

4.

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

a)

Mandatory spending

b)

Discretionary spending

c)

Interest on loans issued

d)

Interest on national debt

5.

What types of taxes contribute to Federal tax revenue? ( hint: choose 4 correct answers :)

a)

Corporate Income Tax

b)

Income Tax

c)

Estate Tax

d)

Excise Tax

6.
a tax in which the tax rate increases as the taxable amount increases
a)
progressive
b)
regressive
c)
flat
d)
proportional
7.

A _____________tax may at first appear to be a fair way of taxing citizens because everyone, regardless of income level, pays the percentage. By taking a closer look, it is easy to see that such a tax causes lower-income people to pay a larger share of their income than wealthier people pay

a)
progressive
b)
income
c)
flat
d)
regressive
8.
A _________ tax, also referred to as a flat tax, impacts low-, middle- and high-income earners relatively equally. 
a)
regressive
b)
proportional
c)
income
9.
Under a ________ tax system, individuals and entities with low incomes pay a higher amount of that income in taxes compared to high-income earners. 
a)
Regressive
b)
Progressive
c)
Proportional
d)
Flat
10.

Proportional taxes are taxes that stay the same regardless of a person's or business's income. For example, some sales taxes are considered proportional because a tax rate of 8% in a certain state would apply to all customers in that state and take the same fraction of their ________. 
a)
taxes
b)
income
c)
family
d)
friends
11.
Jennifer earns $400 per week and pays 10% tax on groceries costing $200 would pay $20, or 5% of their income, in taxes. In the same scenario, Janice, earning $800 per week would only spend 2.5% in taxes. Who pays more?
a)
Jennifer
b)
Janice
c)
Mrs. Marsh
d)
Yoda
12.
Federal Income tax is a _______tax
a)
proportional
b)
flat
c)
regressive
d)
progressive
13.

Local Governments earn the majority of their money from...

a)

Property tax

b)

Sales Tax

c)

Corporate Tax

d)

Fees

14.

the Federal Government earns most of its money from...

a)

Corporate Tax

b)

Social Security and Retirement

c)

Individual Income Tax

15.

the State of Tennessee earns most of its money from...

a)

Property Tax

b)

Sales Tax

c)

Income Tax

d)

Excise Tax

16.

Which of the following items would you pay an Excise tax on? (Select all that apply)

a)

b)

c)

d)

17.

Defense Spending falls under the category of...

a)

Mandatory Spending

b)

Discretionary Spending

18.

The Wage and Tax Statement is the document an employer is required to send to each employee and the Internal Revenue Service (IRS) at the end of the year. It reports employees' annual wages and the amount of taxes withheld from their paychecks.

a)

Branding

b)

W2

c)

W4

d)

Paycheck

19.

The W-4 form lets...

a)

the government know how much you paid in taxes last year

b)

your employer know how much to withhold from your paycheck

c)

the 3 major credit bureaus know how many dependents you have

d)

you know how much you paid in taxes last year

20.

What do you need to file your 1040 form?

a)

Your W-2

b)

Your W-4

c)

Your prior year's tax return

d)

Income of $50,000 or more

21.

If a teen files a tax return, can the parent still claim him/her as a dependent?

a)

Yes. All teens are dependents until they are 18 years old

b)

No. If a teen files a tax return, he/she cannot be claimed

c)

Yes, as long as the teen meets the dependency requirements

d)

Yes, but the parent has to add the teen's income to theirs

22.
Taxes are deducted from all employees paychecks
a)
true
b)
false
23.
The government agency in charge of collecting tax.
a)
FICA
b)
IRS
c)
NBA
d)
SEC
24.
Which tax form provides information on how much you have earned in interest on your savings tools, such as savings accounts?
a)
W2
b)
W4
c)
1040
d)
1099-INT