Questions from Individual Taxation

Q: The state of Georgia recently increased its tax on a pack of

The state of Georgia recently increased its tax on a pack of cigarettes by $2.00. What type of tax is this? Why might Georgia choose this type of tax?

Q: What are the three committees that debate proposed tax legislation? What

What are the three committees that debate proposed tax legislation? What documents do these committees generate, and how might they be used?

Q: Describe in general the process by which new tax legislation is enacted

Describe in general the process by which new tax legislation is enacted.

Q: Explain how implicit taxes may limit the benefits of the conversion strategy

Explain how implicit taxes may limit the benefits of the conversion strategy.

Q: What are the differences between an explicit and an implicit tax?

What are the differences between an explicit and an implicit tax?

Q: When we calculate average and effective tax rates, do we consider

When we calculate average and effective tax rates, do we consider implicit taxes? What effect does this have on taxpayers’ perception of equity?

Q: Benjamin recently bought a truck in Alabama for his business in Georgia

Benjamin recently bought a truck in Alabama for his business in Georgia. What different types of federal and state taxes may affect this transaction?

Q: Kobe strongly dislikes SUVs and is appalled that so many are on

Kobe strongly dislikes SUVs and is appalled that so many are on the road. He proposes to eliminate the federal income tax and replace it with a $50,000 annual tax per SUV. Based on the number of SUVs...

Q: Campbell’s tax return was audited because she failed to report interest she

Campbell’s tax return was audited because she failed to report interest she earned on her tax return. What IRS audit selection method identified her tax return?

Q: What is the difference between the income and substitution effects? For

What is the difference between the income and substitution effects? For which types of taxpayers is the income effect more likely descriptive? For which types of taxpayers is the substitution effect m...