Discussions
What is the federal income tax and why does the U.S government take people to pay this tax?
19 hours ago by accountinglads
Federal income tax is an obligatory tax that the U.S government levies on the annual income of individuals and business. It extends to wages, salary, investments and other income which are subject to taxation. The IRS collects the tax and assists in financing some of the basic national services, which include defense, healthcare programs, infrastructure, education, and operations of the government. The system is progressive; that is, the higher the earnings the higher the percentage that is paid. The government is able to gather income taxes resulting in the stability of the finances and programs benefiting the society as a whole.