Exam (elaborations)
Economics - Taxes Questions and Answers
- Course
- Institution
Exam of 6 pages for the course taxes at taxes (Economics - Taxes)
[Show more]
Content preview
Economics - Taxestaxes - answer revenue for the federal government
common defense and general welfare, federal taxes must be the same in every state,
government may not tax exports - answer The power of to tax is also limited through the
constitution. What are the three reasons?
gives Congress the power the levy taxes - answer What does the 16th amendment say
about taxes?
Grants Congress the power to tax - answer Article 1 of the Constitution gives Congress
the power to do what?
tax base - answer income, property, good, or service that is subject to a tax
proportional taxes - answer tax for which the percentage of income paid in taxes
remains the same for all income levels (ex. sales tax)
progressive taxes - answer tax for which the percent of income paid in taxes increases
as income increases; "make more, pay more!" (ex. federal income tax).
regressive taxes - answer tax poor more than the rich (Social Security)
April 15th - answer What date are taxes due?
Pay-as-you-earn taxation - answer federal income taxes are collected throughout the
course of the year as individuals earn income
tax withholding - answer the process by which employers take tax payments out of an
employee's pay before he or she receives it
tax return - answer form on which you declare your income to the government and
determine your taxable income
taxable income - answer a person' total or gross income minus exemptions and
deductions
exemptions - answer set amounts that you subtract from your gross income for yourself,
your spouse, and your dependents
deductions - answer variable amounts that you can subtract from your gross income
, progressive - answer Are corporate income taxes progressive, regressive, or
proportional?
excise tax - answer tax on the sale or production of a good (gasoline or cell phones)
estate taxes - answer if someone passes away, tax on estate or total value of the
money and property of a person who has passed away. Paid before inheritors receive
their share
gift taxes - answer tax on the money or property that one living person gives another
(lottery)
import taxes – answer tarrifs, taxes on imported goods
mandatory spending - answer social security, Medicare, Medicaid; money that
lawmakers are required by law to spend on certain programs
discretionary spending - answer defense spending, education, training; spending about
which government planners can make choices.
entitlement programs - answer social welfare program people are entitled to if they meet
certain eligibility requirements
operating budgets - answer day to day expenses
capital budgets - answer major capital, investments
state taxes - answer education, public safety, highway and transportation; cant tax
trades and commerce from other states (Civil War).
fiscal policy - answer federal government's use of taxing and spending to keep the
economy stable
contractionary - answer increase taxes, decrease federal spending
expansionary - answer decrease taxes, increase federal spending
federal budget - answer written document indicating the amount of money the
government expects to receive for a certain year and authorizing the amount the
government can spend that year
fiscal year - answer12 month period that is not necessary that same ass the January
December year.
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller julianah420. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $9.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
75632 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now