| A | B |
|---|
| Revenue | Money collected by the government from various sources is |
| Progressive | Tax that increases in proportion to increases in income is a type |
| Taxable | Money earned by individuals that is subject to taxation is |
| Standard deduction | In order to avoid itemizing deductions, a person may elect to take |
| Alimony | Money paid to a former spouse for that person’s support is |
| Child support | Money paid to a former spouse for the support of dependent children is |
| Deductions | Expenses that can be subtracted from gross income are called _________. |
| Adjusted gross income | The amount remaining when adjustments are subtracted from gross |
| Gross | When all sources of taxable income are added together, the total is |
| Exemption | An allowance, or credit, is allowed for each _________ claimed by |
| Regressive | A(n) _________ tax allows a higher-income person to pay a lower |
| Tax evasion | To intentionally fail to pay taxes owed is to commit a felony offense |
| Voluntary compliance | A tax system that is based on _________ requires all citizens to be |
| Proportional | A type of tax that is based on the value of property owned is |
| Tax credit | A(n) _________ is an amount subtracted directly from tax owed. |
| Internal Revenue Service | An administrative agency of the federal government that collects |
| Deductions | Allowable expenses, such as medical costs and property taxes, |
