| A | B |
|---|
| taxes | fees charged by the government on products, activities, or income |
| sales tax | tax imposed by many states, counties and cities on purchases |
| excise tax | a state or federal tax placed on non-essential consumer goods such as tobacco, alcohol, gasoline and hotels |
| property tax | tax paid by people who own items such as home and lands paid to the city and/or county where the property is located |
| assessed value | the amount a property is worth determined by city or county assessors |
| market value | estimate of what you would get if you sold your property |
| income tax | tax paid on the money one earns from working |
| exemptions | items that can be deducted from one's total income before taxes are assessed |
| personal exemption | exemption for someone who cannot be claimed as a dependent by another taxpayer |
| dependent exemption | exemption for someone who relies on the taxpayer for support including food, clothing and shelter |
| deduction | amount subtracted from taxable income |
| charitable contributions | money that was contributed to charities |
| itemized deductions | a list of items that can be deducted from total income |
| taxable income | the amount of income subject to income taxes |
| progressive tax | tax rates increase as the amount of taxable income increases; set to require those that make more, to pay more in taxes |
| Internal Revenue Service (IRS) | government agency that collects taxes for the U.S. government |
| payroll taxes | deducted from the wage earner's gross pay by the employer and used to fund federal government programs such as Social Security and Medicare |
| Social Security | a federal government program funded through payroll taxes; designed to provide retirement and disability income for those meeting specific criteria |
| Medicare | a federal government program funded through payroll taxes; pays for health care expenses for citizens over age 65 or those who meet special criteria |
| credit | an amount of money applied directly to th amount of taxes owed to the government |
| child tax credit | a special credit given to taxpayers for each child under age 17 |
| refund | a check or automatic deposit for the amount by which taxes were overpaid |
