taxation

Taxation

 

Vocabulary

system raise money
finance government service
activity level nation/national
require local province/provincial
pay revenue protection
cost health program
road defense other
public private direct
levy charge income
wealth individual spend/spent
indirect is old as over the years
 vary depend depends on
modern expand especially
advanced industry industrial
country (2) rapid modern times
role take on responsibility
result need as a result
increase around (2) world
frequently protest against
situation taxpayer favor
keep (2) service current
reduce vote/vote defeat
proposal

 
 

  Taxation

Taxation is a system of raising money to finance government services and activities. Governments at all levels–local, provincial, and national–require people and businesses to pay taxes.

Governments use the tax revenues to pay the cost of police and fire protection, health programs, schools, roads, national defense, and many other public services.

Direct and Indirect Taxes

Direct taxes are levied (charged) on the incomes or wealth of individuals or companies. Indirect taxes are levied on money spent by individuals or companies.

History

Taxes are as old as government. The general level of taxes has varied over the years, depending on the role of the government.

In modern times, many governments–especially in advanced industrial countries–have rapidly expanded their roles and taken on new responsibilities. As a result, their need for tax revenue has increased.

Protests

Around the world, people have frequently protested against tax levels and increases. In these situations, taxpayers have favored keeping services at current levels or reducing them. Voters have defeated many proposals for tax increases by provincial and local governments.
 

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 Questions

1. What is taxation? What is the purpose of taxation?

2. There is only one level of taxation. True or false?

3. What are some examples of public services and activities?

4. What are the two main types of taxes?

5. There has always been taxes throughout history. Yes or no?

6. As society and economies become more complex, have governments and increased?

7. People like to pay (more) taxes. Is this correct or wrong?
 
 
A. Do you like to pay taxes?

B. Are taxes in your city, province (state, region), and country not enough, just right, or too much? Should taxes be increase, decreased, or remain the same?

C. Are there lots of debates, discussions and arguments over taxation?
 
 

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