The average tax rate is: Question 1 options: The percentage of net income that is paid in taxes The percentage of gross income that is paid in income tax. The same as the marginal tax rate. The average tax that the average Canadian pays. Question 2 (1 point) Question 12. Gail and Greg and their two grown children, all work full time and reside in the same house. With regard to filing their tax returns, which of the following is true? Question 2 options: The family can file one "family" tax return, based on their combined income and expenses. The parents can file a joint return but the children must each file a separate return. The children can jointly file their tax return with one of the parents. Each person must file a separate individual tax return. Question 3 (1 point) Self-employed people are eligible for: Question 3 options: Tax deductions that are not available to employees of others A higher contribution limit to tax-sheltered funds An increased retirement pension An immediate reduction in the marginal tax rate. Question 4 (1 point) The difference between gross and net income is: Question 4 options: Determined by your marginal tax rate The same for all individuals in one tax year. The amount of income you have to pay in taxes Allowable Deductions Question 5 (1 point) Saved The following change in wealth is taxable: Question 5 options: Selling your cottage Winning at the Montreal Casino Receiving an inheritance Winning the lottery Question 6 (1 point) Allowable deductions for tax purposes Question 6 options: Can change whenever the Income Tax Act is amended Seldom have upper limits. Usually remain the same from year to year Change once every ten years when the Income Tax Act is updated. Question 7 (1 point) Saved Which of the following is an example of an indirect tax? Question 7 options: Sales tax charged separately All of these choices are correct. Real estate taxes Import duties Question 8 (1 point) If lower-income taxpayers pay a disproportionally higher rate of taxes then high-income taxpayers, what type of tax structure is it? Question 8 options: There is no such tax structure Regressive Proportional Progressive Question 9 (1 point) Income tax, social security and Medicare are all part of _____. Question 9 options: business taxes payroll taxes various withholding taxes personal taxes Question 10 (1 point) Which of the following funds ONLY the federal government? Question 10 options: The capital gains tax Taxes paid for purchasing goods Personal property tax Taxes paid for purchasing services Question 11 (1 point) Income taxes, luxury taxes, and estate taxes are all forms of _____ taxing. Question 11 options: progressive business capital personal Question 12 (1 point) Which of the following can help fund local governmental operations? Question 12 options: A payroll tax A capital gains tax A Social Security tax A property tax