A$$ "good" tax structure has five characteristics.

Briefly discuss the five characteristics.

Using the five$$ characteristics, evaluate the following tax$$ structures:

Federal income tax

State sales tax

Local ad valorem property tax

Question content area bottom

Part $1$

a$.$ Briefly discuss the five characteristics.

For each$$ characteristic, choose the corresponding description.

Characteristic

Description

First row characteristic label input

Certainty

First row description label input

Ensures a stable source of government revenue. Provides taxpayers some sureness concerning their annual tax liability

Second row characteristic label input

Convenience

Second row description label input

Easily assessed, collected, and administered

Third row characteristic label input

Economy

Third row description label input

Minimal compliance and adminstrative costs

Fourth row characteristic label input

Simplicity

Fourth row description label input

Tax system is easy to understand and comply with

Fifth row characteristic label input

Equity

Fifth row description label input

Fairness of the tax to the taxpayers

Part $2$

b$1.$ Using the five$$ characteristics, evaluate the federal income tax.

Select which$$ characteristic$($s$)$ the federal income tax meets the criteria of fairly well and which$$ characteristic$($s$)$ the federal income tax does not meet. $($If an input field is not$$ used, leave the input$$ field$($s$)$ empty. Do not select a$$ label.$)$

Federal Income Tax

Meets fairly well

Does not meet

Characteristic meets fairly well first row label input

Characteristic does not meet first row label input

$$

Characteristic meets fairly well second row label input

Characteristic does not meet second row label input

Characteristic meets fairly well third row label input

Characteristic does not meet third row label input

Characteristic meets fairly well fourth row label input

Characteristic does not meet fourth row label input

Characteristic meets fairly well fifth row label input

Characteristic does not meet fifth row label input