SOUTH WESTERN FEDERAL TAXATION CERTIFICATION EVALUATION TEST PAPER FULL SOLUTION QUESTIONS AND ANSWERS PACK

SOUTH WESTERN FEDERAL TAXATION
CERTIFICATION EVALUATION TEST PAPER
FULL SOLUTION QUESTIONS AND
ANSWERS PACK

●● What is payroll tax?
Answer: Tax generally withheld from paychecks that funds Social
Security and Medicare programs.


●● What is a surplus?
Answer: More annual income received than spent.


●● What is a gift tax?
Answer: Tax levied on money or property given to one living person by
another.


●● What is a custom duty?
Answer: A tax laid on goods brought into the United States from abroad.


●● What is a regressive tax?
Answer: A tax that is set at a flat rate.

, ●● What is a continuing resolution?
Answer: Legislation passed by Congress for the Department of Energy
to operate until appropriations are approved.


●● What is an excise tax?
Answer: A tax levied against the manufacture, sale, or consumption of
goods.


●● What are Social Security benefits an example of?
Answer: Uncontrollable spending.


●● What is the largest source of federal revenue from taxes?
Answer: Income taxes.


●● long and short term
Answer: the power to borrow money was seen as a way for the U.S. to
meet the costs of ________________ crisis situations


●● Why is the federal budget important?
Answer: It determines which programs will have money to operate.


●● Which groups cannot be taxed by the Federal Government?
Answer: Churches, schools, healthcare, and road construction.