For the Week ending 01/20/06
Directions: Choose the word that matches with the definition and appropriately fits into the blank space in the sentence.
Amount that taxpayers can claim for their eligible dependents. Each exemption reduces the income subject to tax. The exemption amount is a set amount that changes from year to year.
Frank's _______ for his four children was higher this year than last.
Determines the rate at which income is taxed. The five are: single, married filing a joint return, married filing a separate return, head of household, and qualifying widow(er) with dependent child.
Income tax rates vary depending on your _______.
the taxable sum of an individuals gross annual income reduced by allowable deductions for the tax year
John's personal tax bill for the year was based on his _______.
Performs services for others. The recipients of the services do not control the means or methods the individual uses to accomplish the work. The recipients do control the results of the work; they decide whether the work is acceptable. These individuals are self-employed.
You cannot be considered an _______ if you are on a company's payroll collecting wages and benefits.
A tax paid on expensive goods and services considered by the government to be nonessential.
The _______ assessed on yachts was blamed for the demise of many jobs in the boating industry.