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1.4 Types of Taxes 9/12/23

By Jennifer Pariseau
Last updated about 2 months ago
23 Questions
Note from the author:
BJECTIVES & STANDARDS
Math Objectives
  • Analyze data presented in a line graph and stacked bar graph
Common Core Math Standards
  • Link to all CCSS Math
  • CCSS.PRACTICE.MP4
  • CCSS.HSM
  • CCSS.HSS.IC.B.6
Personal Finance Objectives
  • Distinguish between common taxes, including income tax, payroll tax, property tax, and sales tax
  • Explore how different types of taxes and variation in state taxes lead to individuals paying varying amounts of taxes
  • Determine whether a tax is regressive, progressive, or proportional
National Standards for Personal Financial Education
Earning Income
  • 6a: Calculate the amount of taxes a person is likely to pay when given information or data about the person’s sources of income and amount of spending
  • 7a: Investigate the federal and state tax rates applicable to different sources of income
DISTRIBUTION & PLANNING
Distribute to students
  • 1.4 Types of Taxes 9/12/23
BJECTIVES & STANDARDS
Math Objectives
  • Analyze data presented in a line graph and stacked bar graph
Common Core Math Standards
  • Link to all CCSS Math
  • CCSS.PRACTICE.MP4
  • CCSS.HSM
  • CCSS.HSS.IC.B.6
Personal Finance Objectives
  • Distinguish between common taxes, including income tax, payroll tax, property tax, and sales tax
  • Explore how different types of taxes and variation in state taxes lead to individuals paying varying amounts of taxes
  • Determine whether a tax is regressive, progressive, or proportional
National Standards for Personal Financial Education
Earning Income
  • 6a: Calculate the amount of taxes a person is likely to pay when given information or data about the person’s sources of income and amount of spending
  • 7a: Investigate the federal and state tax rates applicable to different sources of income
DISTRIBUTION & PLANNING
Distribute to students
  • 1.4 Types of Taxes 9/12/23
Intro
INFOGRAPHIC: 9 Types of Taxes in the US
There are a lot of different ways that we pay taxes. Review the infographic to learn the basic types of taxes, then answer the questions.

Which of the 9 taxes is the largest source of revenue for the U.S. government?

Which of the 9 taxes do you currently pay?

Learn It
ARTICLE: What are Income Taxes?
ARTICLE: What is a Payroll Tax? (stop after “Unemployment Taxes”)
Two of the biggest taxes we pay show up on our paystubs: income taxes and payroll taxes. Review the two articles and answer the question below.

Identify whether each of the following statements describes income taxes (I) or payroll taxes (P) or both. Circle or highlight your answers.

ARTICLE: How Are My State Taxes Spent?
States can collect their own taxes in addition to federal taxes. So what do these state-specific taxes pay for? Read the article and answer the questions.

Which of the following lists correctly orders average state expenditures from greatest to least?
  1. Health care, education, low-income assistance, transportation, corrections
  2. Education, health care, transportation, corrections, low-income assistance
  3. Low-income assistance, education, health care, transportation, corrections
  4. Transportation, education, health care, corrections, low-income assistance

What are the main programs funded by state spending on healthcare?

Are there any areas you think the state should spend more or less on? Why or why not?

VIDEO: Your Property Tax Assessment: What Does It Mean?
Property taxes are one of the most significant local taxes paid by homeowners. Watch the video embedded in the article and answer the questions below. You do not need to read the article or focus on the details of how home value assessments are determined.

Are property tax rates set by the local, state, or federal government?

Identify 2 factors that impact the amount of a property tax bill.

What government programs are often funded by property taxes?

Make an inference: What do you think is the impact of funding these social services locally using property taxes?

Math Connection: Stacked Bar Graphs

Math Connection: Stacked Bar Graphs Desmos
DESMOS: Exploring State and Local Tax Rates
The taxes you pay vary based on where you live, including income taxes, property taxes, and sales taxes. To explore how taxes vary by state, click on the Desmos link posted in your google classroom.
Grade in x2 as 1.4 Desmo 1

Learn It 1:
INFOGRAPHIC: Progressive, Regressive, or Proportional?
One way to categorize taxes is by the impact they have on people with different incomes. Review the infographic to learn the three basic categories, then answer the questions. Note: a proportional tax is sometimes also called a flat tax.

In your own words, summarize what progressive, regressive, and proportional mean.

Does a proportional tax mean that every person pays the same amount in taxes? Why or why not?

Make an inference: Why do you think this infographic breaks the top 20% into three categories?

Which type of tax do you think is the most fair? Why?

MATH CONNECTION - STACKED LINE GRAPHS

MATH CONNECTION - STACKED LINE GRAPHS
DESMOS: Exploring Tax Rates by Income Level and Tax Type
After all these different taxes, how much do different Americans end up paying in taxes overall? To complete this Desmos activity, click on the Desmos link #2 Stacked Line Graphs posted in your google classroom.
Grade in x2 as 1.4 Desmo 2

Learn It 2:
INTERACTIVE: International Tax Rates
Now that you’ve learned more about the taxes we pay in the U.S., see how that compares to tax rates internationally. Explore the interactive and answer the questions.

Which country has the highest tax rate? What is it?

Identify at least one other country with a similar tax rate as the United States.

What do you think would be the advantages and disadvantages of living somewhere with low average tax rates?

Write one takeaway and one question you have after exploring the interactive.

Exit Ticket

What is a progressive tax?
  1. A tax that you pay whenever you buy something
  2. A tax where high earners pay a higher percentage than low earners
  3. A tax that funds social welfare programs
  4. A tax that is automatically withheld from your paycheck

Which of the following is true about federal income tax?
  1. It is the only tax you will pay on your wages, salary, and tips
  2. It primarily funds Medicare and Social Security
  3. It is a tax you pay based on the value of your home
  4. It is a progressive tax that depends on your income level

Imagine your local mayor proposes a 1% increase in the sales tax rate. Who is likely to be the most impacted by this increase?
  1. Talia, who makes $16,750 a year
  2. Daytona, who earns $58,950 a year
  3. Imani, who makes $375,250 a year
  4. They will all be equally impacted