Individual income taxes (or personal income taxes) are levied on earnings, salaries, investments, or other sources of income earned by an individual or household. Many individual income taxes are “progressive,” which means that the tax rate rises as the taxpayer’s

Governments at the federal and state levels levy a corporate income tax (CIT) on business profits, which are calculated as revenues (what a company makes in sales) minus costs (the cost of doing business). Businesses in the United States are

Payroll taxes are levied against employee wages and salaries to fund social insurance schemes. The majority of taxpayers will be familiar with payroll taxes by looking at their paystubs at the conclusion of each pay period, where it is plainly

In general, capital assets encompass anything that is held and used for investment, pleasure, or personal use, such as stocks, bonds, residences, vehicles, jewels, and works of art. A “capital gain” is the consequence of any growth in the value

Sales taxes are a type of consumption tax paid on products and services sold at retail. If you live in the United States, you are probably already aware of the sales tax because you have probably noticed it printed at

Regardless of profitability and without accounting for business expenses, gross receipts taxes (GRTs) is levied on a company’s gross sales. This is a significant distinction from other taxes that companies must pay, such as those that are calculated according to

A consumption tax known as a value-added tax (VAT) is imposed on the value contributed throughout each stage of the production of a product or service. Each business in the production chain is required to pay VAT on the value

Excise taxes are levied on a specific commodity or activity in addition to a general consumption tax, and they account for a very tiny and volatile portion of total tax receipts. Excise taxes on things like cigarettes, alcohol, soda, gasoline,

In the United States, property taxes, which are generally assessed on moveable assets like land and buildings, are a crucial source of funding for state and municipal governments. In the United States, property taxes account for more than 30% of

Property that can be moved or touched is referred to as tangible personal property (TPP), and examples include commercial machinery, merchandise, furniture, and automobiles. TPP taxes account for a small portion of all state and local tax revenues, but they

The worth of a person’s possessions at the time of their death is subject to both estate and inheritance taxes. In contrast to inheritance taxes, which are paid by persons who inherit property, estate taxes are paid by the estate

Wealth taxes are often levied on an individual’s net wealth (total assets minus any debts payable) that exceeds a specific threshold each year. For instance, a person with a net worth of $2 million would have $2.5 million in assets

The Tax Cuts and Jobs Act which was enacted on December 22, 2017, created a new provisioncalled Qualified Business Income (QBI) under Sec. 199A.Sec. 199A(a): Effective for tax years beginning after Dec. 31, 2017, and before Jan. 1, 2026, ataxpayer

The term PTEP refers to earnings and profits (E&P) of a foreign corporation attributable to amounts which are, or have been, included in the gross income of a U.S. shareholder under Sec. 951(a) or under Sec. 1248(a). Sec. 959(a)(1): Distributions