Which term is the tax levied by government directly on personal income?

• A. Gross Pay
• B. Resume
• C. Interview
• D. Income Taxes

Answer: (D)

Income tax is the tax levied by the government directly on a person’s earnings. It’s collected from your pay—often through payroll withholding—and the amount reflects how much you earn, sometimes with progressive brackets as income rises. This is different from gross pay, which is the amount you earn before any deductions. A resume or an interview aren’t taxes; they’re parts of applying for a job. The core idea is that income tax is paid directly to the government based on income, unlike indirect taxes that are charged on goods and services.