Taxation News

The United States of America operates on a federal front, while taxing the states and local communities for all income received.
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It is through the United State’s new progressive tax system that lead in the growth of America in such a short time. Taxes apply on all the means and methods in which any income is generated out of including: Payroll, Income, Sales, Capital Gains, Real Estate, Property, and gifts. Just a few years ago back in 2010, the United State’s taxes amount reached to 24.8% of the total GDP the country makes, and all taxes were collected on all fronts of the government including: Government, State, and Local.

The federal government of the United States is the decision holder with how much each individual or organization gets taxed in each and every state in the country. The taxes are imposed only on the Net Income of each individual or organization which is the sum total of their income after paying bills and expenses. It does not matter where the U.S. citizen resides in the world, any and all citizens must report their incomes worldwide and pay taxes accordingly depending on how much the U.S. set that country’s tax rate to be.
Taxation 2015

Not all income however can be taxable by the federal government, and citizens must inform the Internal Revenue System of any expenses paid for out of their incomes in order for pay less taxes. Businesses incorporate this strategy throughout their growth process to ensure the company does not pay taxes which is re-invest all the net income of the company back into it and claiming all income as expenses, which therefore excludes you from paying taxes since all the income went to expenses.

The amount of taxes each person has to pay varies from State tax to Federal tax, and each U.S. individual or organization must adhere to paying both taxes always on time.

  • Federal Tax Rate = 10% to 39.6% of net income.
  • State Tax Rate = 0% to 13.30% of net income

Each person or individual must also pay property/real estate taxes based on any land or building they own in the U.S.

  •     Property/Real Estate Tax Rates = 0.2% to 1.9% of the total property value.

Payroll Taxes differ from one person to the next depending on their income.

  •     Payroll Taxes Rate: 15.3% for Federal and State Taxes.

Any sales that are made to a U.S. citizen must be reported and taxed. Sales tax can vary hugely from state to state.

  •     Sales Tax Rate: 0% to 16%

The U.S. also charges taxes on any Customs import, which is the same all over the country.

  •     Customs Tax Rate = 0% to 20%

The Internal Revenue System, which handles all the taxation related issues in the country operates to handle all aspects of the country’s income through citizens and organizations. In order for the tax system to continue to work, each citizen must pay their share of the national debt.