Prepared by Charlie Cook The University of West Alabama © 2009 South-Western, a part of Cengage Learning Taxes: Assignments Chapter 11

11–2 © 2009 South-Western, a part of Cengage Learning

11–3 © 2009 South-Western, a part of Cengage Learning Sales Taxes A sales tax is a government levy, or charge, on retail sales of certain goods and services. Retail sales taxes are a combination of state and local taxes. An excise tax is a tax assessed on each unit. In some states both the excise tax and the general sales tax apply to items such as gasoline, cigarettes, and alcoholic beverages. X T E R M S

11–4 © 2009 South-Western, a part of Cengage Learning Figure 11.1Sales Taxes

11–5 © 2009 South-Western, a part of Cengage Learning to Compute Sales Tax and Total Sales Amount 1.Multiply the taxable sales amount by the tax rate. 2.Add the sales tax amount to the taxable sales amount to get the total sales amount. 1

11–6 © 2009 South-Western, a part of Cengage Learning Assessed Valuations and Property Taxes Property tax for a business A tax on real estate or other property, such as machinery, owned by the business. Assessed value Taxes are based on a value, known as the, determined by a representative of the local or state government. Assessed valuation is based on the current market value of the property (what the property could be sold for). 2 T E R M S

11–7 © 2009 South-Western, a part of Cengage Learning Tax Rates: Percents and Mills Percents A tax rate found by dividing the amount of money the government unit needs to raise by the assessed valuation of the particular unit. Mills A mill is a tenth of a cent, or $0.001 (one thousandth of a dollar). 3 T E R M S

11–8 © 2009 South-Western, a part of Cengage Learning Figure 11.2Income and Outlays. These pie charts show the relative sizes of the major categories of federal income and outlays for fiscal year 2007.

11–9 © 2009 South-Western, a part of Cengage Learning Figure 11.3Form 1040 Label Section

11–10 © 2009 South-Western, a part of Cengage Learning Figure 11.4Form 1040 Filing Status Section

11–11 © 2009 South-Western, a part of Cengage Learning Figure 11.5Form 1040 Exemptions Section

11–12 © 2009 South-Western, a part of Cengage Learning Figure 11.6Form 1040 Income Section

11–13 © 2009 South-Western, a part of Cengage Learning Figure 11.7Form 1040 Adjustments to Income Section/ Adjusted Gross Income

11–14 © 2009 South-Western, a part of Cengage Learning Figure 11.8Form 1040 Taxable Income and Income Tax Section

11–15 © 2009 South-Western, a part of Cengage Learning Figure 11.10Standard Deduction Chart for People Age 65 and Older or Blind (line 40)

11–16 © 2009 South-Western, a part of Cengage Learning Figure 11.11Tax Rate Schedules

11–17 © 2009 South-Western, a part of Cengage Learning Figure 11.11Tax Rate Schedules (cont’d)

11–18 © 2009 South-Western, a part of Cengage Learning Figure 11.12Form 1040 Credits Section

11–19 © 2009 South-Western, a part of Cengage Learning Assignment 11.1: Sales Tax A Solve the following problems.

11–20 © 2009 South-Western, a part of Cengage Learning Assignment 11.1: Sales Tax A Solve the following problems. (cont’d)

11–21 © 2009 South-Western, a part of Cengage Learning Assignment 11.1: Sales Tax B Solve the following problems. Use Figure 11.1 for problems 3 and 4.

11–22 © 2009 South-Western, a part of Cengage Learning Assignment 11.1: Sales Tax B Solve the following problems. Use Figure 11.1 for problems 3 and 4.

11–23 © 2009 South-Western, a part of Cengage Learning Assignment 11.1: Sales Tax B Solve the following problems.

11–24 © 2009 South-Western, a part of Cengage Learning Assignment 11.1: Sales Tax C Solve the following problems.

11–25 © 2009 South-Western, a part of Cengage Learning Assignment 11.2: Property Taxes A Solve the following problems.

11–26 © 2009 South-Western, a part of Cengage Learning Assignment 11.2: Property Taxes A Solve the following problems. (cont’d)

11–27 © 2009 South-Western, a part of Cengage Learning Assignment 11.2: Property Taxes B Solve the following problems.

11–28 © 2009 South-Western, a part of Cengage Learning Assignment 11.2: Property Taxes B Solve the following problems. (cont’d)

11–29 © 2009 South-Western, a part of Cengage Learning Assignment 11.2: Property Taxes C Solve the following problems. Round to the nearest dollar.

11–30 © 2009 South-Western, a part of Cengage Learning Assignment 11.2: Property Taxes D Solve the following problems. Round to the nearest dollar.

11–31 © 2009 South-Western, a part of Cengage Learning Assignment 11.3: Federal Income Tax A Complete all problems, using the exemptions, deductions, and tax rates given in the chapter. Round all amounts to the nearest dollar. (Rounding is allowed so long as it is done consistently.)

11–32 © 2009 South-Western, a part of Cengage Learning Assignment 11.3: Federal Income Tax A Complete all problems, using the exemptions, deductions, and tax rates given in the chapter. Round all amounts to the nearest dollar. Rounding is allowed so long as it is done consistently. (cont’d)

11–33 © 2009 South-Western, a part of Cengage Learning Assignment 11.3: Federal Income Tax A Complete all problems, using the exemptions, deductions, and tax rates given in the chapter. Round all amounts to the nearest dollar. Rounding is allowed so long as it is done consistently. (cont’d)

11–34 © 2009 South-Western, a part of Cengage Learning Assignment 11.3: Federal Income Tax B Solve the following problems.

11–35 © 2009 South-Western, a part of Cengage Learning Assignment 11.3: Federal Income Tax B Solve the following problems. (cont’d)

11–36 © 2009 South-Western, a part of Cengage Learning Assignment 11.3: Federal Income Tax B Solve the following problems. (cont’d)

11–37 © 2009 South-Western, a part of Cengage Learning Chapter Terms for Review adjusted gross income (AGI) assessed valuation Child Tax Credit dependency exemption excise tax filing status Form 1040 itemized deductions levy market value mill personal exemptions property tax sales tax tax rate Tax Rate Schedules taxable income