I can understand types of taxes
Jacob Jackson
Types of taxes
Income tax
Is a tax on earned and unearned income. Income tax is divided into to types of income tax
federal income tax- helps fund operations of federal government.
state income tax- operations of the state government
Payroll tax
A tax on earned income that supports the social security and medicare programs also
known as (FICA) .
It is collected to help fund social security and medicare programs
Property Tax
A tax on property such as land buildings, and motor vehicles.
It is collected to help fund schools and expenses of state and local government
Sales tax
Tax on purchased goods and services.
It is collected to help pay for expenses of state and local government.
Excise tax
Taxes collected from the seller or retailer and such often remain hidden.
Also collected to help fund expenses of states and local governments