Income Taxes - Knowledge Check Preview

The amount of money you actually receive after the deductions are taken from your gross income.

• Net income
• Deductions
• Wages
• Tax

Amounts of money taken from your income before you are paid.

• Commission
• Retainer
• Deductions
• Rate

Tags

CCSS.7.RP.A.3

CCSS.7.RP.A.2

Total money you earn before taxes and other deductions.

• Salary
• Net income
• Gross income
• Wages

As taxable income increases, income tax rates _________.

• increase
• decrease
• stay the same
• could go either way

This form will be sent to Lily by the end of January. She will use this W-2 form to…

• Obtain employment

• Receive her paycheck

• File her income taxes 

• Begin her retirement savings

All of the following employee information is included on a W-2 form EXCEPT...

• Employer name and EIN (Employer Identification Number)

• Employee’s Social Security Number

• Employee’s date of birth

• Employee’s current address

Taxes are collected by the __________.

• Businesses

• Parents

• Foreign countries

• Government

IRS stands for

• Internal Revenge Service

• International Revenue System

• Internal Revenue Service

• Inspection Ravioli Sauce

When you receive a new job, you are mandated to file a ______ to let your employer know how much to withhold in taxes.

• Complaint

• Divorce

• W-4

• W-2

A fixed amount all people are allowed to deduct from their adjusted gross income to reduce their federal tax liability

• Standard Deduction

• Itemized Deduction