I know that the IRS is supposed to implement and enforce all tax laws and regulations, but who actually decides what the rate is in the first place? Is it the treasury? Is it a person or just an entity? Does he/she have a name or just go by a title? Also, is it different for different taxes (i.e. income tax vs property tax)?
2007-10-17 06:09:02 · 6 answers · asked by rexiemercada1984 1 in Business & Finance ➔ Taxes ➔ United States
Congress creates the tax laws, based on the authority given it by the United States Constitution. This includes setting the federal tax rates.
Congress then delegates its authority to make rules for the enforcement of the laws to the IRS, which is a division of the United States Treasury.
There is no national property tax, although there are numerous "excise taxes" and other special taxes. Property taxes are levied at the state and local level, because the ability to make property laws is a State right under our Constitution.
2007-10-17 06:54:54 · answer #1 · answered by raichasays 7 · 0⤊ 0⤋
Congress passes the laws for federal taxes, the IRS implements them.
For state taxes, it's the state legislature. County or local taxes are determined by the officials of that governmental entity.
2007-10-17 06:12:39 · answer #2 · answered by Judy 7 · 2⤊ 0⤋
Congress with the agreement of the President. I believe all tax bills come from the House but must also be approved by the Senate.
2007-10-17 06:18:19 · answer #3 · answered by oil field trash 7 · 0⤊ 0⤋
Congress. Exclusively.
2007-10-17 06:50:09 · answer #4 · answered by Bostonian In MO 7 · 1⤊ 0⤋
If it doesn't come from congress it doesn't come at all. Lots of other folks try to influence things.
2007-10-17 06:47:09 · answer #5 · answered by Anonymous · 0⤊ 0⤋
the federal reseve controls interest rates so the chairman of the fedreal reserve would be responsible for raising and lowering rates.
2007-10-17 06:15:28 · answer #6 · answered by mat2073 3 · 0⤊ 7⤋