About This Chapter
Personal Taxes - Chapter Summary
An understanding of the types of taxes you pay is important financial knowledge. This chapter examines all kinds of taxes, including income taxes, payroll taxes and real estate taxes and look at how they are determined. You can also examine formulas that determine the amount of taxes. After you've watched a lesson, complete a short quiz on the topics covered and see if there is any information in the lesson you need to further review. These lessons look at tax topics including:
- How the government uses personal taxes
- What the Internal Revenue Service (IRS) does
- Arguments for and against a progressive tax system
- The differences between payroll and property taxes
- How to decrease tax liability
|Purpose & Types of Personal Taxes||Get information on types of taxes and how governments use tax money.|
|The Federal Tax System: Filing Taxes & Auditing||Find out more about how the IRS works, including the auditing process.|
|Income Tax: Tax Liability & Deductions||Learn how to use a person's tax filing status to determine the amount of taxes owed.|
|Progressive Tax System: Definition, Pros & Cons||Explore how the progressive tax system works and look at its advantages and disadvantages.|
|Corporate Tax Rate: Definition & Formula||See how corporate taxes are calculated.|
|Understanding the Progressive Tax Code||Examine the definition of a progressive tax and how it works.|
|What is Payroll Tax? - Definition & Example||Discover what payroll taxes are and how they are applied.|
|Interest in Real Property: Types of Estates||Learn about types of estates.|
|Personal Tax Planning||Understand methods for reducing tax liability.|
1. Purpose & Types of Personal Taxes
There are different kinds of personal taxes that a person may incur in their working lives, including sales, payroll, income, capital gains, and property tax. Learn more about the definition and purpose of each of these types of taxes with the help of examples.
2. The Federal Tax System: Filing Taxes & Auditing
The Federal tax system has different tools in order to make sure the various stakeholders and taxpayers comply with rules and mandates. Learn more about tax filing, audits, and how these methods regulate the tax world.
3. Progressive Tax System: Definition, Pros & Cons
The progressive tax system is a form of taxation in which the tax rate increases as personal income increases. Learn about the definition, pros and cons, and significance of the progressive tax system in America.
4. What is Payroll Tax? - Definition & Example
Payroll tax is a tax paid by employers for the wages of their employees. This tax is usually deducted from the salary of the employees. Learn about the different types of payroll taxes and their definitions and the computation example of the payroll tax from an employer's point of view.
5. Income Tax: Tax Liability & Deductions
Income taxes are paid to the government on earned monies, including wages from jobs and other income sources. Learn about common deductions that are used to determine the amount of income tax owed, and understand the difference between itemized and standard deductions.
6. Corporate Tax Rate: Definition & Formula
Corporations are taxed at rates that differ from the tax rates for individuals. Explore the definition and formula for corporate taxes and their tax rate. Use this information to calculate corporate taxes based on earnings.
7. Understanding the Progressive Tax Code
A progressive tax code means that individuals who earn a higher income pay more taxes. Learn about the three types of tax codes (progressive, regressive, and proportional) and the primary economic effect for each method of taxation.
8. Income Tax Issues in Personal Investments
Income tax is based on an individual's income, which can include increases in the valuation of personal investments. Learn the tax issues that can occur through investments related to dividends, interest, capital gains, and rental incomes.
9. Personal Tax Planning
Planning for personal tax comes with various methodologies in keeping track of what expenses are taxable and what to report. Learn more about income tax, the Internal Revenue Service, deductions, and FSA's.
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