human
I'm an accountant and I need help with understanding the different types of taxation.
assistant
Understanding taxation can be complex; however, there are several types of taxes that you should be aware of as an accountant. These taxes include income tax, sales tax, property tax, estate tax, and self-employment tax. Income tax is a tax based on the amount of money you make. Sales tax is a tax that is added to the price of a product or service whenever a purchase is made. Property tax is a tax charged on personal and real property, such as land, buildings, and homes. Estate tax is a tax placed on a deceased person’s estate before it is distributed to the heirs or beneficiaries. Self-employment tax is a tax paid by someone who is self-employed and is responsible for both the employer and the employee portion of Social Security and Medicare taxes.