KU ACCT 330 EXAM 1 QUESTIONS AND ANSWERS GRADED A+
Compulsory payments to support the cost of operating government - Answers Taxes
-not a punishment
-not entitled by it - Answers Characteristics of taxes
any persons required by law to pay taxes - Answers Taxpayers
people, corporations, and other business entities - Answers who are the "persons" referred to when
paying taxes
ultimate economic burden of the tax - Answers Incidence
The right of a government to levy tax on a specific person, org, etc. - Answers Jurisdiction
city
state
federal - Answers Types of jurisdictions
due to a link between the government and the taxpayer - Answers How do jurisdictions exist?
physical link
economic link
citizenship link - Answers What are the types of jurisdiction links
where the taxpayer lives - Answers physical link
some form of economic tax is present - Answers economic link
only apply to citizens of that government/country - Answers citizenship link
US citizens
Resident aliens
Non-resident aliens - Answers Who is the government able to tax
-have a green card
-taxed on all worldwide income - Answers Resident aliens
-have other form of legal way to live in the US
-taxed only on US-sourced income - Answers non-resident aliens
, -taxed on whether live on US soil or not
-taxed on all worldwide income - Answers US citizens
-flat rate
-graduated rate - Answers Types of tax rates
single % - Answers flat rate
different amounts subject to different % - Answers graduated rate
Tax (T) = Rate (r) x Base (B) - Answers Basic tax structure
-progressive
-proportional
-regressive - Answers What are the rate structures
higher tax % applied to higher base levels (income) - Answers progressive rate structure
-flat rate
-single rate applied to all base levels (sales tax) - Answers Proportional rate structure
lower % applied to higher base levels - Answers Regressive rate structure
-transaction
-activity
-earmarked - Answers Types of Base structures
tax triggered by particular event
Ex. Sales tax, excise tax, estate tax - Answers transaction base structure
tax imposed on an ongoing activity
Ex. income tax - Answers activity base structure
-property tax
-payroll tax - Answers earmarked base structure
schools, fire dept, etc. - Answers what are property taxes earmarked for
social security, medicare - Answers what are payroll taxes earmarked for
Compulsory payments to support the cost of operating government - Answers Taxes
-not a punishment
-not entitled by it - Answers Characteristics of taxes
any persons required by law to pay taxes - Answers Taxpayers
people, corporations, and other business entities - Answers who are the "persons" referred to when
paying taxes
ultimate economic burden of the tax - Answers Incidence
The right of a government to levy tax on a specific person, org, etc. - Answers Jurisdiction
city
state
federal - Answers Types of jurisdictions
due to a link between the government and the taxpayer - Answers How do jurisdictions exist?
physical link
economic link
citizenship link - Answers What are the types of jurisdiction links
where the taxpayer lives - Answers physical link
some form of economic tax is present - Answers economic link
only apply to citizens of that government/country - Answers citizenship link
US citizens
Resident aliens
Non-resident aliens - Answers Who is the government able to tax
-have a green card
-taxed on all worldwide income - Answers Resident aliens
-have other form of legal way to live in the US
-taxed only on US-sourced income - Answers non-resident aliens
, -taxed on whether live on US soil or not
-taxed on all worldwide income - Answers US citizens
-flat rate
-graduated rate - Answers Types of tax rates
single % - Answers flat rate
different amounts subject to different % - Answers graduated rate
Tax (T) = Rate (r) x Base (B) - Answers Basic tax structure
-progressive
-proportional
-regressive - Answers What are the rate structures
higher tax % applied to higher base levels (income) - Answers progressive rate structure
-flat rate
-single rate applied to all base levels (sales tax) - Answers Proportional rate structure
lower % applied to higher base levels - Answers Regressive rate structure
-transaction
-activity
-earmarked - Answers Types of Base structures
tax triggered by particular event
Ex. Sales tax, excise tax, estate tax - Answers transaction base structure
tax imposed on an ongoing activity
Ex. income tax - Answers activity base structure
-property tax
-payroll tax - Answers earmarked base structure
schools, fire dept, etc. - Answers what are property taxes earmarked for
social security, medicare - Answers what are payroll taxes earmarked for
