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Ch 3: Personal Taxes

About This Chapter

Use these lessons to learn about various types of federal, state and local taxes, how they are administered and the pluses and minuses of various systems. Use the lesson quizzes and the chapter exam to evaluate your learning.

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

Lesson Objective
Purpose & Types of Personal TaxesGet information on types of taxes and how governments use tax money.
The Federal Tax System: Filing Taxes & AuditingFind out more about how the IRS works, including the auditing process.
Income Tax: Tax Liability & DeductionsLearn how to use a person's tax filing status to determine the amount of taxes owed.
Progressive Tax System: Definition, Pros & ConsExplore how the progressive tax system works and look at its advantages and disadvantages.
Corporate Tax Rate: Definition & FormulaSee how corporate taxes are calculated.
Understanding the Progressive Tax CodeExamine the definition of a progressive tax and how it works.
What is Payroll Tax? - Definition & ExampleDiscover what payroll taxes are and how they are applied.
Interest in Real Property: Types of EstatesLearn about types of estates.
Personal Tax PlanningUnderstand methods for reducing tax liability.

9 Lessons in Chapter 3: Personal Taxes
Test your knowledge with a 30-question chapter practice test
Purpose & Types of Personal Taxes

1. Purpose & Types of Personal Taxes

In this lesson, you'll learn about five types of personal taxes: sales, payroll, income, capital gains, and property tax. We'll discuss the uses of each tax and provide examples.

The Federal Tax System: Filing Taxes & Auditing

2. The Federal Tax System: Filing Taxes & Auditing

In this lesson, we'll define the function of the Internal Revenue Service and discuss the process of tax preparation. We'll also explore two methods of filing taxes and learn how tax audits are completed.

Progressive Tax System: Definition, Pros & Cons

3. Progressive Tax System: Definition, Pros & Cons

Find out what a progressive tax system is and why the system in the United States is considered progressive. Learn about the debate over tax systems and some of the biggest arguments for and against a progressive tax.

What is Payroll Tax? - Definition & Example

4. What is Payroll Tax? - Definition & Example

This lesson will define the payroll tax and explore the various types of payroll taxes. Also, an example that looks at payroll taxes from the viewpoint of the employee will be provided.

Income Tax: Tax Liability & Deductions

5. Income Tax: Tax Liability & Deductions

In this lesson, we'll discuss allowable deductions that reduce taxable income. You'll learn about each deduction and its limitations. We'll also explore how to calculate tax liability after subtracting deductions.

Corporate Tax Rate: Definition & Formula

6. Corporate Tax Rate: Definition & Formula

In this lesson, we'll define corporate tax rates and explore how to calculate corporate tax based on a formula. You'll also learn about the United States' graduated tax system and look at examples to fully grasp the concepts discussed.

Understanding the Progressive Tax Code

7. Understanding the Progressive Tax Code

In this lesson, learn what a progressive tax code is, how to recognize it, and what the alternatives are. Then, learn the differences between the three tax codes: progressive, regressive and proportional. Finally, learn how sales tax would impact progressivity.

Income Tax Issues in Personal Investments

8. Income Tax Issues in Personal Investments

In this lesson, we'll define income tax. You'll learn about three types of investments: stocks, bonds and real estate. We'll also discuss the various types of income received from these investments and their tax treatment.

Personal Tax Planning

9. Personal Tax Planning

In this lesson, we'll discuss income tax and its purpose. You'll also learn how to reduce your tax liability with itemized deductions, flexible spending accounts, home office expenses and retirement contributions.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
Not Taken
Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
Not Taken

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