WGU Advanced Tax C239, Questions and answers, rated A+/ VERIFIED 2024

What qualifies as a tax? - -Is to fund the government agencies that's required, imposed by a government and not tied directly to the benefit received by the taxpayer. Earmarked tax - -a tax that is assessed for a specific purpose Tax base - -Is the item being taxed x the tax rate Flat tax - -A tax in which a single tax rate is applied throughout the tax base Graduated taxes - -taxes in which the tax base is divided into a series of monetary amounts, or brackets, where each successive bracket is taxed at a different (gradually higher or gradually lower) percentage rate. Marginal tax rate(MTR) - -the tax rate that applies to the next additional increment of a taxpayer's income (or to deductions). What is the marginal tax rate calculation? - -Tax (new total tax - old tax) / Taxable income (new taxable income - old taxable income) What is the average tax rate calculation? - -Total tax / Taxable income Average tax rate - -the taxpayer's average level of taxation on each dollar of taxable income What is the effective tax rate calculation? - -= Total tax / Total income