Taxes-How Does The Government Get Money?

Type of Tax	Specific Tax: How It Is Collected
Federal Taxes	Payroll Tax: Collected from wages and salaries only Income Tax: Collected from wages, salaries, interest from bank accounts, rents, royalties and dividends Corporate Income Tax: Collected from a corporations net income Excise Tax: Collected from sales of items such as tobacco, alcoholic beverages and gasoline Estate Tax: Collected from a deceased person’s estate Gift Tax: Collected during the transfer of property between living people
State Taxes	General Sale Tax: Collected mostly from general sales Excise Tax: Collected from sales of items such as tobacco, alcoholic beverages and gasoline Estate Tax: Collected from a deceased person’s estate Inheritance Tax: Collected from a person after they have inherited something from a deceased person
City/Local Taxes	General Sale Tax: Collected mostly from general sales Excise Tax: Collected from sales of items such as tobacco, alcoholic beverages and gasoline Property Tax: Collected from financial and real assets, this includes, stocks, bonds, houses, cars and artwork
Miscellaneous Taxes	Pollution Tax: Collected from companies that produce air, water, oil or water pollution