Question

You receive your first paycheck and notice that a percentage of your money has gone to taxes and your employer explains that everyone must pay taxes. Based on the lessons, what are the benefits of paying taxes and the penalties for not paying your taxes? Include the type of taxes you currently have to pay and explain why.

Answer 1

Answer:

1. The whole point of taxes is to raise money to help pay for programs and services authorized by state and federal governments. Here are some examples of what your federal and state income taxes help to provide. Federal taxes help pay for: National defense – Securing America and protecting its interests overseas. If you file your taxes but don't pay them, the IRS will charge you a failure-to-pay penalty. The penalty is far less: Generally, the IRS will charge you 0.5 percent of your unpaid taxes for each month you don't pay, up to 25 percent. Interest also accrues on your unpaid taxes.

Answer 2

Answer:

The money you pay in taxes goes to many places. In addition to paying the salaries of government workers, your tax dollars also help to support common resources, such as police and firefighters. If you file your taxes but don't pay them, the IRS will charge you a failure-to-pay penalty.

Explanation: