Paying Taxes — Quiz

Question 1

Which tax is used to support healthcare costs for retirees?

Revolt · Accepted Answer

Medicare tax

Question 2

Why does an excise tax on gasoline exist? Choose two correct answers.

Revolt · Accepted Answer

to discourage travel by automobile by making gasoline more expensive; to fund highway repairs and other special projects

Question 3

Which statements about sales taxes are true? Choose four correct answers.

Revolt · Accepted Answer

Sales taxes are taxes on purchased goods.; The more something costs, the greater the dollar amount paid in sales tax.; They are collected by state and local governments; The tax rate changes from state to state and city to city.

Question 4

Marco makes $65,000 a year as a graphic designer. He makes a charitable donation of $1,000 each year. He also has $5,000 of business-related expenses, including travel and materials. What is Marco’s taxable income?

Revolt · Accepted Answer

$59,000

Question 5

A federal income tax exists to provide revenue for

Revolt · Accepted Answer

the US government.

Question 6

The act of purposely failing to pay taxes is known as

Revolt · Accepted Answer

tax evasion.

Question 7

Which statements about payroll taxes are true? Choose three correct answers.

Revolt · Accepted Answer

Employers pay a set percentage of payroll taxes.; Everyone pays the same percentage, regardless of income.; Payroll taxes support Social Security and Medicare.

Question 8

If an individual overpays taxes throughout the year, then after filing taxes he or she will receive

Revolt · Accepted Answer

a refund.

Question 9

At tax season, an individual who has withheld too little in taxes can expect

Revolt · Accepted Answer

a large tax bill.

Question 10

Income taxes are taxes that are paid on

Revolt · Accepted Answer

any financial gain.

Paying Taxes — Quiz Answers

More from this Course

TRY EDGENUITY HACKS