Introduction to Business & Marketing
Today’s Objectives
 Identify the major types of consumer taxation.
 Compute gross and net pay.
 Complete personal income tax forms.
Personal Property Tax
Personal property tax is a tax that an owner is required to pay on the value of their
property, which includes things like ____________________ ____________________, motor
____________________, etc.
 Charged by state and local governments, it is the main tax supporting:
o
o
o
 Assessed as a percentage of the current ____________________ of the property
Income Tax
Income tax is a tax imposed on earned income by the ____________________
government and by most state and local governments.
The amount each individual pays depends on their tax ____________________.
 More money earned, higher _____________________ paid in taxes
Sales Tax
Sales tax is a ____________________ tax charged at the point of purchase for certain
goods and services.
In Virginia, sales tax is usually __________ percent.
Sales tax in restaurants may vary by county (local government).
FICA
FICA refers to ____________________ ____________________ and ____________________ taxes
paid by individuals and employers.
Usually the employee will pay __________% of their gross income and the employer will
match it.
In 2011, FICA has been reduced to __________% of an employee’s gross pay.
Understanding Your Paycheck

Gross Pay –

Deductions –

Net Pay –
Annual Income Forms
Form W-4: You fill this out when you start a new job.
 Determines how much you will pay in ____________________
 If you claim ___________________, the ____________________ amount of taxes will be
withheld from your paycheck.
Form W-2: ____________________ tax form issued by ____________________ that states how
much an employee was paid in a given year
Forms for Filing Taxes
 ____________________
o
Income < _______________
o
Filing as __________________
 ____________________
o Used to report taxable
income, such as:
or _______________________

o
Under the age of _________

o
No ______________________

Ways to File Your Taxes
In the past, you would prepare your taxes and send your package in to the
____________________ ____________________ ____________________ (IRS).
Most people now use ____________________ to prepare their taxes and then
____________________ online with the IRS.