This document discusses constitutional principles like majority rule and conflicts that can arise from them. It also discusses different types of taxation and how taxes are used to fund government services at the local, state, and federal levels. Specifically, it defines regressive, progressive, and proportional taxes. It provides examples of different types of taxes like income taxes, social security, sales taxes, and property taxes. Finally, it discusses federal and state budgets and how governments need to collect enough taxes to avoid budget deficits.

1. EOC Review Obj 2.07 Constitutional Principles in Action Obj 2.08 Taxation Types

2. Constitutional Principles Constitutional Principles such as majority rule can bring about conflict. Check out the exmples below: Majority Rule- The president is elected by a majority of Electoral votes Loose vs Strict Construction- Do you believe the Consitution is a flexible document that can change over time? States Rights vs Federal Rights- How much power should states have.

3. Why collect taxes? Running all levels of Gov’t cost money From schools to paying the President all people and businesses pay taxes to keep gov’t running The 16th amendment allowed for the collection of personal income taxes

4. TAXES… Everyone has to PAY!

5. Types of Taxation Regressive taxes are the same for everyone no matter how much money you make Progressive taxes are based on your income. “the more you make, the more you pay” Proportional taxes are a set amount. Everyone pays the same percentage. I

6. Test your knowledge! What type of taxes would you classify the following? Income Taxes Social Security Sales Property Exise or “luxery” User Fee

7. ANSWERS! Income Taxes (progressive) Social Security (proportional) Sales (regessive) Property (property) Exise or “luxery” (regessive) User Fee (regressive)

8. Our taxes pay for services? On all THREE levels of Gov’tservicies benefit YOU! Local-Fire and Police protection, schools, libraries State- schools, museums, state hospitals, prisons Federal- US military, social security, Medicare/Medicaid Think about what servicies YOU use everyday?

9. Federal and State Budgets The President (Federal) and the Governor (State) propose a budget each year. The Congress (federal) and the General Assembly (State) must approve before signed into law PS.. This is a GREAT example of… CHECKS and Balences If Gov’t does not take enough taxes in they run a Budget Deficit.

10. EOC practice questions ??? Which statement is true about a progressive tax? The higher the income is, the higher the tax rate is It benefits the wealthy more than the poor It is a tax on the sale of goods Interest is taxed at a higher rate

11. EOC Practice Question A candidate must win which of the following to be elected president? A majority in Congress A majority of the popular vote A majority of the electoral vote The popular vote in Florida