The fastest growing source of federal tax revenue is the _____ tax.

Question

Quizplus · Accepted Answer

Payroll taxes, specifically Social Security and Medicare taxes, have been the fastest growing source of federal tax revenue in recent years. This is due to factors such as an aging population, increased employment and wages, and an expansion of the taxable wage base. Personal and corporate income taxes remain key sources of revenue, but payroll taxes have surpassed them in terms of growth. Excise taxes are a smaller source of revenue, generally applied to specific goods and services.

The Fastest Growing Source of Federal Tax Revenue Is the _____