Answer:
B. lower the amount of personal income tax
Explanation:
The United States income tax or income tax in the United States is a tax levied on the income of natural persons in this country. It is applied by the Federal Government (regulated in the Federal Tax Code or "Internal Revenue Code" - IRC). Most states and many municipalities have established surcharges or supplements to the tax, which increase the tax quota. It is a progressive tax, which in 2013 had a maximum rate of 39.6%, of the subject yields. The collection corresponding to this tax supposes more than 50% of the revenues of the Federal Government.
Residents in the United States and the citizens of this country pay the tax for their world rnta, that is, the income obtained anywhere in the world, while non-residents are taxed exclusively for the income received in the United States. There are several types of deductions that reduce the tax to enter.
The tax base is the total income minus the allowable deductions. Most of the expenses of business activities are deductible. Individuals can also deduct a personal minimum (exemption) and certain personal expenses, which include mortgage interest, state taxes and donations of a charitable nature. Equity gains are subject to tax and capital losses reduce the tax base only to the amount of the profits obtained.
Taxpayers in general must self-assess their income tax annually by submitting the corresponding tax return, which includes income for the entire year. Various payments on account of the tax are also made throughout the year, through withholdings on account or estimated payments of income.
Taxes are determined separately by each tax jurisdiction. The due dates and certain administrative procedures vary according to the place of residence. April 15 is the deadline to submit the corresponding statement to the previous year.
