| A | B |
|---|
| Money in this country is collected from citizens and redistributed according to priorities determined by | Congress |
| Money collected bny the government from various sources | revenue |
| Tax that increases in proportion ito increases in income | progressive |
| Money earned by individuals that is subject to taxation | taxable |
| A flat amount allowed taxpayers depending on filing status and subtracted from adjusted gross income | standard deduction |
| Money paid to a former spouse for that person's support | alimony |
| Money paid to a former spouse for the support of dependent children | child support |
| Expenses that can be subtracted from gross income | deductions |
| When all sources of taxable income are added together | gross |
| An allowance, or credit, is allowed for each ___ claimed by a taxpayer | exemption |
| Amount remaining when adjustments are subracted from gross income | adjusted gross income |
| A ___ tax allows a higher-income person to pay a lower percentage of income in taxes than a lower-income person | regressive |
| Tointentionally fail to pay taxes owned is to commit a felong offense called __ | tax evasion |
| A tax system that is based on ____ requires all citizens to be responsible for preparing and filing their tax returns on time & paying taxes due | voluntary compiliance |
| type of tax that is based on the value of property owned | proportional |
| an amount subtracted directly from tax owed | tax credit |
| An administrative agency of the federal government that collects taxes & deposits taxes withheld with the Department of the Treasury | Internal Revenue Service |
| Allowable expenses, such as medical costs & property taxes | deductions |
