The federal income tax is a tax levied or charged by the Internal Revenue Service (IRS)—the revenue service of the United States (federal) government. The federal income tax is a tax on the annual earnings of individuals, corporations, trusts, limited liability companies, and other legal entities.
Federal income taxes are levied on all types of earnings that make up a taxpayer’s taxable income—including earnings from employment and from capital gains (income earned on the sale of assets).
In Florida, as in all states across the United States, federal income tax is levied by the Internal Revenue Service (IRS), which is the federal government's revenue service. This tax applies to the annual earnings of individuals, corporations, trusts, limited liability companies (LLCs), and other legal entities. The taxable income includes all types of earnings such as wages, salaries, bonuses, and capital gains, which are the profits from the sale of assets like stocks or real estate. It's important to note that while Florida does not impose a state income tax on individuals, federal income tax obligations still apply to all Florida residents and entities that generate taxable income. The federal tax system is progressive, meaning that the rate of taxation increases as income rises. Taxpayers in Florida must comply with federal tax regulations, file annual tax returns, and pay any taxes due to the IRS.
