Section 1

Question 0

Revenue

Answer 0

Is government income from taxes and other sources.

Question 1

Tax

Answer 1

Is a mandatory payment to the government.

Question 2

Tax base

Answer 2

Is a form of wealth-such as income, poverty, goods, or services-that is subject to taxes.

Question 3

Individual income tax

Answer 3

Is based on an individual’s income from all sources.

Question 4

Corporate income tax

Answer 4

Is based on a corporation’s profits.

Question 5

Sales tax

Answer 5

Is based on the value if goods or services at the time of sales.

Question 6

Property tax

Answer 6

Is based on the value of an individual’s or a business’s assets.

Question 7

Proportional tax

Answer 7

Takes the same percent age of income from all taxpayers.

Question 8

Progressive tax

Answer 8

Places a higher percentage rate of taxation on high income people.

Question 9

Regressive tax

Answer 9

Takes a larger percentage of income from low income people.

Question 10

Incidence of a tax

Answer 10

Is the final burden of the tax.

Question 11

Tax incentive

Answer 11

Is the use of taxes to influence economic behavior.