Chapter 11

Question 1

Taxes(gov’s main source of income)

Answer 1

A change usually if money impaired by authority(gov.) on persons or property for public purposes

Question 2

“There are only two thinks in life that are certain, Death and Taxes”

Answer 2

Mark Twain

Question 3

“The price we pay for a civilized society”

Answer 3

Oliver Wendell Homes

Question 4

3 categories of taxes

Answer 4

Proportional-same % OG taxation on everyone regardless of income(sales tax)

Progressive-taxes larger % from higher income makers

Regressive-taxes larger % of income from low income groups than from higher income groups(gas, cigarettes, and alcohol)

Question 5

3 types of taxes from PAYCHECK

Answer 5

Federal taxes-4 mains

1. social servicesfood stamps
2. Military and gov. Workers
3. Social security
4. Medicare(retirees) and medicade (poor)

State taxes-4 things

1. Social services-welfare
2. state colleges
3. Roads
4. Hospitals

Local taxes-4 things

1. Education(schools)
2. Police/Firefighters
3. Health
4. Social services-free lunch in schools

Question 6

3 major groups who are EXEMPT from income taxes

Answer 6

Non profit organizations-churches(different denominations/places of worship), church schools, humanitarian groups(United way/ADARA)

Us citizens working abroad

Low income workers

Question 7

Single

Answer 7

Make peas than $14,000

Question 8

Married

Answer 8

Make less than $27,000

Question 9

Full time student

Answer 9

19-24 yrs

Question 10

3 categories of taxes

Answer 10

1. Income-payroll, investment, capital
   gains
2. Property-real estate, estate
3. Goods/services-sales,excise, sin, luxury