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Worksheets

Tax Day

Total questions: 25

Worksheet time: 25mins

Name
Class
Date
1.

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

a)

Your employer

b)

The Government

c)

Local Businesses

2.

Money paid to the government

a)

Paystub

b)

Current

c)

Taxes

d)

Net Pay

3.

When is "Tax Day"?

a)

February 28

b)

April 15

c)

June 30

d)

October 1

4.

Business and people pay income taxes. Both are

a)

regressive taxes

b)

progressive taxes

c)

proportional taxes

d)

personal taxes

5.

Grace, Ava, and Priya are discussing their finances. Ava mentions a term 'tax return'. Priya is unsure about it. Grace explains that a tax return is...

a)

Money you get back for working really hard

b)

a report containing information used to calculate taxes owed by the taxpayer

c)

The Internal Revenue Service (IRS)

6.

Where does the government get most of its money?

a)

It prints money

b)

It sells land

c)

Taxes

d)

It produces products to sell

e)

Donations

7.

What is the name of the agency that collects taxes in the United States?

a)

Secret Service

b)

Federal Bureau of Investigation

c)

Internal Revenue Service

d)

Department of Energy

e)

Department of the Interior

8.

What tax form am I? I am received in January. There is one of me for every employer that you worked for in the previous year. I have information on how much you earned and how much you paid in taxes for the previous calendar year.

a)

1040

b)

I-9

c)

W-2

d)

W-4

9.

What is Tax Day in the United States?

a)

April 15th

b)

March 15th

c)

May 15th

d)

June 15th

10.

Which government agency is responsible for collecting taxes in the United States?

a)

Federal Bureau of Investigation (FBI)

b)

Internal Revenue Service (IRS)

c)

Department of Homeland Security (DHS)

d)

Central Intelligence Agency (CIA)

11.

What is the purpose of a W-4 form?

a)

To report interest income

b)

To determine tax withholding

c)

To claim tax deductions

d)

To file a tax return

12.

Which of the following is a common tax deduction?

a)

Grocery expenses

b)

Mortgage interest

c)

Clothing purchases

d)

Vacation costs

13.

What is a tax credit?

a)

A reduction in the amount of income subject to tax

b)

A direct reduction of the tax owed

c)

An increase in taxable income

d)

A penalty for late tax filing

14.

What is the penalty for not filing taxes on time?

a)

No penalty

b)

A fine and interest on unpaid taxes

c)

Community service

d)

Loss of voting rights

15.

Which form is used to report self-employment income?

a)

Form 1040

b)

Form 1099-MISC

c)

Form W-2

d)

Form 4868

16.

What is the standard deduction?

a)

A fixed amount that reduces taxable income

b)

A percentage of income that is tax-free

c)

A tax on luxury items

d)

A penalty for underpayment

17.

What is the difference between a tax deduction and a tax credit?

a)

A deduction reduces taxable income; a credit reduces tax owed

b)

A deduction increases taxable income; a credit increases tax owed

c)

Both are the same

d)

A deduction is a penalty; a credit is a reward

18.

What is the purpose of a 1099 form?

a)

To report wages and salaries

b)

To report interest and dividends

c)

To report self-employment income

d)

To report tax credits

19.

What is an audit?

a)

A review of financial records by the IRS

b)

A tax refund

c)

A tax deduction

d)

A tax credit

20.

What is the earned income tax credit (EITC)?

a)

A credit for low to moderate-income working individuals

b)

A penalty for high-income earners

c)

A deduction for business expenses

d)

A tax on earned income

21.

What is the child tax credit?

a)

A credit for taxpayers with dependent children

b)

A deduction for child care expenses

c)

A penalty for not having children

d)

A tax on children's income

22.

What is the alternative minimum tax (AMT)?

a)

A tax system to ensure that high-income individuals pay a minimum amount of tax

b)

A tax on alternative energy sources

c)

A tax credit for low-income earners

d)

A deduction for medical expenses

23.

What is a tax refund?

a)

Money returned to taxpayers who have overpaid their taxes

b)

A penalty for underpayment of taxes

c)

A deduction for charitable contributions

d)

A credit for business expenses

24.

What is the filing status on a tax return?

a)

A category that determines tax rates and deductions

b)

A penalty for late filing

c)

A credit for early filing

d)

A deduction for filing online

25.

What is the purpose of a Schedule C form?

a)

To report business income and expenses

b)

To claim a tax credit

c)

To apply for a tax refund

d)

To report interest income