quiz 2 Flashcards
(15 cards)
who imposes taxes on various forms of income and wealth in order to raise the revenue to provide goods and various other services
government
form of wealth (such as income, property, goods, or services) that is subject to taxes
tax base
based in individual income from all services
individual income tax
based on a corporations profits
corporate income tax
based on the value of goods or services at the time of sale
sales tax
based on the value of an individuals or business assets
property tax
pay property tax based on the value of their buildings and the land on which the buildings stand
homeowners and business owners
may also be imposed on other assets such as automobiles
property tax
takes the same percentage of income from all taxpayers
proportional tax
places a higher percentage rate of taxation on high income people
progressive tax
takes a larger percentage of income from low income people
regressive tax
states with ________ generally charge rates from 3-5% of income
flat taxes
cities and counties with ___________ charge about 1-3% of income
proportional taxes
in the US, the federal income tax is a _______, because the tax rate increases as _____ increases
progressive tax
income
some taxes are _______ because they are applied to sales, not income
regressive
