Paying Taxes Answers

10 verified answers
1
Free Preview

The act of purposely failing to pay taxes is known as

A
withholding.
B
tax evasion.
C
a progressive system.
D
a tax penalty.
2
Free Preview

Why does an excise tax on gasoline exist? Check all that apply.

A
to make gasoline prices more competitive
B
to provide funding for healthcare services and education
C
to discourage travel by automobile by making gasoline more expensive
D
to fund highway repairs and other special projects
E
to discourage the use of alternative modes of transportation
4

Income taxes are taxes that are paid on

A
any financial gain.
B
purchased goods.
C
homes, land, or property.
D
special goods and activities.
6

Which statements about payroll taxes are true? Check all that apply.Education and infrastructure receive a portion of the funds from payroll taxes.Everyone pays the same percentage, regardless of income. Payroll taxes are progressive based on income. Payroll taxes support Social Security and Medicare. Employers pay a set percentage of payroll taxes.

A
Education and infrastructure receive a portion of the funds from payroll taxes.
B
Everyone pays the same percentage, regardless of income.
C
Payroll taxes are progressive based on income.
D
Payroll taxes support Social Security and Medicare.
E
Employers pay a set percentage of payroll taxes.
7

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

p
prosecution by the IRS.
a
a heavy refund.
a
additional withholdings.
a
a large tax bill.
8

Van and her brother Trung both own homes valued at $175,000. Both pay property taxes at 1.25% and pay annual taxes of $2,187.50. They live in different neighborhoods. Van’s property value is expected to increase by 5% next year.Trung’s property value is expected to increase by 3%.How will these changes affect their property taxes? Check all that apply.Van’s property tax will increase.Trung’s property tax will be less than Van’s.Trung’s property tax will decrease compared to Van’s.Van’s property tax will be less than Trung’s. Trung’s property tax will increase.

A
Van’s property tax will increase.
B
Trung’s property tax will be less than Van’s.
C
Trung’s property tax will decrease compared to Van’s.
D
Van’s property tax will be less than Trung’s.
E
Trung’s property tax will increase.

Did you find these answers helpful?