WHAT IS INCOME TAX????????

Question

is it the amount of money you pay based on your taxable income.... and you can determine it by using a tax table??????

OR is it someting else

Answer 1

Yes, it's what you pay based on your taxable income and filing status.  The table and schedules are in the instructions for form 1040 and 1040A among other places.

Answer 2

Tax base on your income but there are levels of taxation. Basically the more you earn the more you get tax.

Answer 3

Simply puit, it is tax on your income.  

In a more detailed explanation... You subtract money from your income spent on deductible things like mortgage interest and donations to charitable organizations and what is left is your taxable income.  You then use a table to find out how much tax you need to pay based on your marital status and that taxable income amount.

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Answer 4

for me income tax is the rate of company and other business which is the payment of us.

Answer 5

Income tax is very simple and very complicated.

The simple answer is:  Income tax is a tax on your income.  And, yes, it is based upon your taxable income

The complications are that there are, in the US, thousands of pages of tax rules and regulations just on the income tax.  Hundreds of thousands of bookkeepers, accountants, CPA's, tax lawyers, tax preparers and other make their living helping people figure what their income tax is, and how to avoid paying as much tax as possible.  (Avoiding tax is OK.  Evading tax is illegal.)

In general, you can determine your approximate tax by using tax tables provided by the IRS.  But, this will only be an approximation, not a "set in stone" amount.

Answer 6

You are correct. It is a % of what your taxable income is.