“Keep your eye on one thing and one thing only: how much the government is spending. Because that is the true tax.” – Milton Friedman
There are many forms of taxation in the United States that typically fall into one of three categories: income taxes, sales taxes and property taxes. Put simply, you are taxed when you earn it, taxed when you spend it, and taxed when you own it. Each of these tax types often take multiple forms. For example, income taxes include the federal income tax, state income taxes (in most states), corporate income taxes, Social Security taxes, Medicare taxes, capital gains taxes, and inheritance taxes. Sales and property taxes likewise take multiple forms.
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