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Income Tax

Income tax is a government levy imposed on the earnings of individuals and businesses. Typically calculated as a percentage of income, it serves to fund public services such as education, healthcare, and infrastructure. Tax rates can vary based on income levels, with progressive systems taxing higher incomes at higher rates. Individuals typically report their incomes annually, and deductions may reduce taxable income. Understanding income tax is important for financial planning and compliance with legal obligations.

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    Income tax is a government levy imposed on individuals' earnings, including wages, salaries, and business profits. It functions as a primary revenue source for governments, funding public services like education, healthcare, and infrastructure. Tax rates can vary based on income levels, with progressive systems taxing higher incomes at higher rates. Individuals calculate their taxable income by subtracting allowances and deductions from their total earnings. Tax returns are typically filed annually to report income and determine the amount owed or refunded. Understanding your tax obligations is crucial for financial planning and compliance with the law.