Wednesday, May 9, 2007

->>TAXES-How does the Government Get Money?

There are many different types of taxes that Americans pay. These include Federal Income Tax, Local Income Tax, Medicare Tax, Real Estate Tax, Social Security Tax and of course sales taxes. Federal Income Tax is probably one of the most important income taxes an American pays, they are the taxes put on our earnings and the earnings of corporations and companies. The taxes put on the corporations are often called corporate taxes. Taxes are like a "enforced contribution" to the government. This money is usually used by the government to fund many things that need to be done, like protection of property and the expenses of war. Other taxes such as Real estate tax or property tax are imposed on the person who owns that certain piece of property and its value. So the federal government collects money more on our personal income, corporate income and other issues such as socail insurances. While the local and State governemnt tax personal, property and sales.

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