Income tax in the United States These treaties reduce the chance of double taxation by allowing each country to fully tax its citizens and residents and reducing the amount the other country can tax them. Generally the treaties provide for reduced rates of tax on investment income and limits as to which business income can be taxed. The treaties each define which taxpayers can benefit from the treaty. The United States social insurance system is funded by a tax similar to an income tax. Social Security tax of 6.2% is imposed on wages paid to employees. The tax is imposed on both the employer and the
Income tax on gambling Income tax on gambling Rules concerning income tax and gambling vary internationally. In Germany, wins are taxable since July 2012 by 5% of the winnings (profit). For example, if you placed a bet of €10 at an odd of 2.00, then your total return (not including the taxes) is €20, however after the tax deductions, your return will be only €19.50 (€10.00 x 2.00 = €20.00 - (5% *€10.00 (your total profit)) = €19.50). For online poker, however, because of a hairy legislation, the wins are not taxable yet. In the United Kingdom, wins (unless in the course of a