Federal Income Tax


Federal Income Tax

A tax levied by the United States Internal Revenue Service (IRS) on the annual earnings of individuals, corporations, trusts and other legal entities. Federal income taxes are applied on all forms of earnings that make up a taxpayer's taxable income, such as employment earnings or capital gains.

It is important to distinguish between the general notion of income tax and federal income tax. In the United States, governments at the state level may also levy income taxes in addition to federal income taxes. Not all states have implemented state level income taxes. For example, the states of Texas and Florida are just two of the handful of states in which federal income taxes are the only income taxes that are levied.


Investment dictionary. . 2012.

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  • federal income tax — ➔ income tax * * * federal income tax UK US noun [C or U] GOVERNMENT, TAX ► a tax on workers salaries or companies profits that is paid to the US government: »Some investment funds are exempt from federal income tax. → Compare STATE INCOME TAX( …   Financial and business terms

  • Rate schedule (federal income tax) — Part of a series on Taxation Taxation in the United States …   Wikipedia

  • Filing Status (federal income tax) — Filing Status is an important factor when computing taxable income under the Federal Income tax in the United States. Your federal tax filing status defines the type of tax return form an individual will use. [… …   Wikipedia

  • United States Federal Income Tax Personal Exemption — A deduction for a Personal Exemption amount for the individual taxpayer, the taxpayer s spouse, and the taxpayer s child or other dependent for purposes of calculating a U.S. taxpayer s federal income tax is provided in the Internal Revenue Code… …   Wikipedia

  • income tax — n: a tax on the net income of an individual or a business compare excise, property tax Merriam Webster’s Dictionary of Law. Merriam Webster. 1996 …   Law dictionary

  • Income tax in the United States — UStaxationThe federal government of the United States imposes a progressive tax on the taxable income of individuals, partnerships, companies, corporations, trusts, decedents estates, and certain bankruptcy estates. Some state and municipal… …   Wikipedia

  • income tax — A state or federal government s levy on individuals as personal income tax and on the earnings of corporations as corporate income tax. Bloomberg Financial Dictionary * * * income tax ˈincome tax noun [countable, uncountable] TAX in Britain, a… …   Financial and business terms

  • income tax — noun a personal tax levied on annual income (Freq. 4) • Hypernyms: ↑tax, ↑taxation, ↑revenue enhancement • Hyponyms: ↑bracket creep, ↑estimated tax, ↑FICA, ↑ …   Useful english dictionary

  • Income Tax Assessment Act 1936 — is an act of the Parliament of Australia. It s one of the main statutes under which income tax is calculated. The act is gradually being rewritten into the Income Tax Assessment Act 1997, and new matters are generally now added to the 1997… …   Wikipedia

  • income tax — a tax levied on incomes, esp. an annual government tax on personal incomes. [1790 1800] * * * Levy imposed by public authority on the incomes of persons or corporations within its jurisdiction. In nations with an advanced system of private… …   Universalium


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