Taxes are paid on the wages and salaries of employees with the aim of
financing social insurance programs, whereby the taxpayer looks at the
employees’ salaries fund at the end of each payment period, and the amount of
tax is listed by the salaries that have been withheld by the employer since the
start of the employees’ work with them.
Payroll tax in the USA
The largest payroll tax in the United States of America is the 12.7%
Social Security Funding Tax and the 2.9 percent Medicare Financing Tax, making
up a total tax of 15.3%.
Half of the taxes are transferred directly by employers, with the other
half being deducted from employees' salaries.
Although employers pay half of
the salary taxes, the greatest economic burden is placed on workers in the form
of lower wages.
Capital tax
This tax covers everything owned and used for personal purposes,
entertainment, or investment, including stocks, bonds, homes, cars, jewelry,
and art.
And the higher the value of the assets when the stock you own rises, the
result is a capital gain.
Taxes on what you buy in America
It includes sales tax, gross income tax and value added tax.
Sales tax
A form of tax levied on retail sales of goods and services, and in the
USA it is printed below store receipts. It is an important source of US revenue
and collects sales taxes in all US states except Alaska, Delaware, Montana, New
Hampshire and Oregon.
Experts recommend that sales taxes be applied to all goods and services
that consumers buy and not those that firms buy when they produce their own.
Gross income tax
It is a tax that is particularly harmful to start-up companies as it
causes losses in the early years and large companies. Although dismissed as
ineffective and unhealthy, policy makers are beginning to consider gross income
tax as a new source of income.
Value added tax
It is a consumption tax on value added at each stage of production of a
good or service. Throughout the production period, companies are required to
pay value-added tax on the value of the product produced, as it is a tax on
final consumption.
Excise tax
They are consumption taxes levied on goods or carrying out a specific
activity, and they constitute a small share of the total tax collection.