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House Taxes Article
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A Brief Assessment of Income Taxes
from:Income taxes are the obligatory financial contribution levied against the annual earnings of both individuals and companies. Every year, income taxes are collected by the federal government via the filing of income tax returns. Every individual and company is responsible for truthfully and accurately reporting all of their income to the government in order for the correct amount of tax liability to be applied. The collection of this revenue pays for a number of federal programs, facilities and services that a large part of the population depends on every day. Federal income tax returns and state income tax returns are often filed together.
The three most common tax systems currently in use are progressive, regressive and proportional. A large majority of countries use the progressive model to collect income taxes. In this form of collection the higher the income, the higher the tax rate. Individuals are grouped into certain tax brackets based on income. To help reduce their tax burden, individuals are allowed certain deductions that can be subtracted from their gross income. These deductions can be anything from educational expenses to certain medical care expenses. A deduction is not the same as a tax credit. Tax credits reduce what an individual owes in total income taxes.
While both individuals and companies are required to pay income taxes, the tax return for a business has a number of characteristics that non business returns do not. With corporate taxes, the net income is taxed instead of the gross income. This is because businesses often have many more deductions and expenses than the average individual. These expenses can be anything from advertising to office supplies and equipment. Accurate accounting is a must for businesses in order for the appropriate corporate tax codes to be applied. To avoid penalties and fines, businesses often rely on professional tax preparers to astutely organize their financial information at tax time.
The long history of organized civilization has seen many tax collection systems come and go. While they have all faced much criticism, taxes are nonetheless very necessary to keep a country viable for its citizens. For the United States, the issue of income tax arose several times before being permanently instated in 1913. Except for the dozen or so countries that do not levy a personal income tax, nearly every nation has some debate about their tax system. In the United States, one of the most common complaints is the long and confusing tax codes; however, the preparation of income taxes has recently become much easier with the advent of online filing.
House Taxes News
House Republican leaders plan summer tax cut vote - Fox News
 msnbc.com | House Republican leaders plan summer tax cut vote Fox News The House will vote this summer on continuing wide-ranging tax cuts first enacted under President George W. Bush, House Majority Leader Eric Cantor said Friday as the GOP sharpened its plans for confronting Democrats on one of the election's top issues ... House to vote on tax cuts before August break |
Illinois House approves $1-a-pack cigarette tax increase - Chicago Tribune
 WLS | Illinois House approves $1-a-pack cigarette tax increase Chicago Tribune SPRINGFIELD --- The Illinois House today approved a $1-a-pack cigarette tax hike to generate money for health care coverage for the poor. The 60-52 vote by the House, which has in the past rejected cigarette tax hike proposals, came a day after ... House approves $1 pack increase in cigarette tax Illinois poised to hike cigarette tax by $1 a pack to fund healthcare State House votes to add $1 to pack of cigarettes to help Medicaid |
House Republican leaders plan summer tax cut vote - Albany Times Union
 Citybizlist (press release) | House Republican leaders plan summer tax cut vote Albany Times Union ALAN FRAM, AP WASHINGTON (AP) — The House will vote this summer on continuing wide-ranging tax cuts first enacted under President George W. Bush, House Majority Leader Eric Cantor said Friday as the GOP sharpened its plans for confronting Democrats on ... Top House Republican plans summer vote on renewing Bush tax cuts, Senate Dems ... An Often Procrastinating Congress Is Raring at the Gate on Tax Cuts Anti-tax Advocate Norquist Says GOP Can 'Change Maryland' |
House tax chair stung by governor's veto - Republican-Leader
House tax chair stung by governor's veto Republican-Leader Davids, chairman of the House Tax Committee, said the tax bill had the support of both unions and businesses, two groups that are usually on the opposite sides of issues. "We had peace in the valley," he joked. He characterized the tax bill as a rare ... |
An Often Procrastinating Congress Is Raring at the Gate on Tax Cuts - New York Times
 CBS News | An Often Procrastinating Congress Is Raring at the Gate on Tax Cuts New York Times But a major exception is in the offing with the Bush-era tax cuts, which are set to lapse on Jan 1. Both parties in the House and the Senate are eager, perhaps even giddy, at the prospect of voting for their respective versions of an extension of the ... Okla. House scuttles tax agreement; has new plan Oklahoma's personal income tax rate won't be cut this year Senate rejects two bills to stop student-loan hikes |