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Taxation Personal Finance – Ch 9

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Taxation

Personal Finance – Ch 9

Types of Tax Payroll Tax Sales Tax Real Estate Tax Gasoline Tax

Payroll Taxes

Tax Deductions Federal State Local/City FICA

Voluntary Deductions Health Care Retirement Union Dues Tithing/Charitable Contributions

1040 Form

Tax Forms W-4 I-9 W-2 1040

1040EZ

W4 W-4

Withholding allowances

W4

Line 5 is where you write your withholding allowances.

Usually a number between 0 and 7.

Higher #

=

less $

withheld

Lower #

=

more $

withheld

Less chance of

tax return.Greater chance

of tax return.

I9 I-9: Employment Eligibility Verification

Form INS – IRS form Original identification No exceptions

I-9

W-2 W-2: Wage and Tax statement

All earnings and taxation from an employer listed

1040 EZ 1040EZ < $50,000 income < $400 interest

Filing Taxes Filing Status

Single Married, Joint File Married, Individual File Head of Household Widow/Widower w/ dependent child

Deductions Standard Itemized

Exemptions Dependents HAS & IRAs

Credits

Tax Rate Tax Bracket Marginal Rate Effective Tax Rate