WorksheetsChapter 10 Test
Total questions: 20
Worksheet time: 10mins
Withholdings and deductions are . . .
Examples of deficit spending
Expenses that are taken out of your paycheck
Categories of a good budget
Money that the government gives back to you
The tax on the purchase of goods or services is called _____________.
Consumption tax
Purchase tax
Income tax
Goods and services tax
The money you earn hourly for your time and effort at work is called your _____________.
Wages
Salary
Minimum wage
Income tax
What does the Form W-4 estimate?
How much tax you'll owe based on your personal situation.
How much income you should be making.
How much money you'll spend in that fiscal year.
How many tax returns you need to submit.
If you work and earn money, you will have to pay taxes.
True
False
A fixed, annual rate of pay that doesn't change by working more or fewer hours is called _____.
Salary
Hourly wages
Passive income
Commission
When someone says they need to file their taxes, they're talking about filling out a ____________.
Federal tax return
Form W-4
Tax liability
Tax bracket
What is the main IRS form that most Americans use to file their taxes?
Form 1040
Form I-9
Schedule C
Form 1099-DIV
Property tax, inheritance tax, estate tax, and gift tax are all examples of ____________.
Income tax
Family tax
Paycheck tax
Wealth tax
There are two general types of taxes. Taxes on the money you ____________ and taxes on the money you ____________.
Give; save
Budget; don't budget
Have; want
Earn; spend
Renting out property or selling content on a blog are examples of _________________.
Passive income
Active income
Salary
Portfolio income
The deadline for filing your income tax return usually falls on ____________.
April 15
October 13
August 15
July 4
Only a few states have inheritance tax, which . . .
Is a tax on land, homes, and business property that's paid every year
Requires you to pay tax on an asset you receive when someone passes away
Is paid if you sell an inherited gift, like a house
Is applied to a gift over $15,000
When you pay taxes on a purchase, the seller gets to keep that money.
True
False
You can produce __________ by buying and selling stocks, bonds, mutual funds, and real estate.
A large income
Tax deductions
HSAs
Portfolio/investment income
Wealth taxes are often dependent on __________, so it's a good idea to understand the tax rules __________.
Your community; of your neighborhood
If you went to trade school; in your particular field of study
Where you live; in your state
Your age; for your generation
Government deficit spending is a good thing because it lowers the amount of taxes that need to be collected.
True
False
Consumption tax pays for things everyone gets to enjoy, like . . .
A thicker wallet
Parks, libraries, and zoos
Health insurance premiums
Private schools
Getting a big tax refund is not necessarily a good thing.
True
False
Always keep your filed taxes for at least three years in case the IRS decides to ______ your tax return.
Audit
Review
Reject
Submit
