Homework: Chapter 1 Score: 0 of 1 pt Ql:1-4 (book/static) The governor of your state stated in a recent political speech that he has never supported any income tax increases as the tax rates have remained at the same level 4 | 1 of 8 (0 complete) | Hw Score: 0%, 0 of 20 pts Question Help during his entire term of office. Yet, you believe that you are paying more tax this year than in previous years even though your income has not increased. How can both you and the govemor be correct? In other words, is it possible for the government to raise taxes without raising tax rates? O A. two components in computing a taxpayer's tax, the tax base and the tax rate. However, taxes can only be raised by Yes, it is possible because there are increasing the tax base. Thus, even though the Governor proclaimed that tax rates have remained at the same level, adjustments to the tax base, such as the reduction of exemptions, result in tax increases which can be as much, or more, as increases in tax rates. Yes, it is possible because there are two component. Thus, even though the Govemor proclaimed that tax rates have remained at the same level, adjustments to the tax base, such as the elimination of deductions, result in tax increases which can be as much, or more, as increases in tax rates. O B. in computing a taxpayer's tax, the tax base and the tax rate. Taxes can be raised by increasing either O C. Yes, it is possible because there are two components in computing a tax, earned income and the tax rate. However, taxes can only be raised by at the same level, adjustments to earned income, such increasing eamed income. Thus, even though the Govemor proclaimed that tax rates have as the elimination ofd result in tax increases which can be as much, or more, as increases in tax rates O D No, it is not possible because taxes can only be raised by increasing the tax rate. Therefore, the Governor's statement that the tax rates have remained at the same level is incorrect since taxes did increase. Click to select your answer and then click Check Answer. All parts showing Clear All