Presentation on theme: "CH. 14 Congress, Pres and the Budget Money money monay Monay!"— Presentation transcript:
CH. 14 Congress, Pres and the Budget Money money monay Monay!
Essential Question Who bears the burdens of paying for the government? Who receives the benefits?
Budgeting Every year, Congress and President have to set up a budget (Constitution) Budget: policy document allocating burdens(taxes) with benefits(expenditures) “Series of goals with price tags attached”
No more money Deficit: when the government spends(expenditure) more than they receive(revenue) Expenditure: Gov’t spending Revenue: Financial resource of gov’t Income tax and Social Security tax are the largest revenues.
How do we get money? Income tax: shares of individual and corporate wages collected by government Made legal by the 16 th Amendment (1913) Originally income tax appeared during the Civil War Pollock v. Farmer’s Loan and Trust Co. (1895) declared that unconstitutional
Income Tax In general is a progressive tax The more you make, the more you pay. Some people want a “flat” tax Ex: All people pay a 10% tax Others suggest a national sales tax. Taxes on goods you purchase.