Indicate whether each of the following items should be classified as taxes licen
ID: 2336498 • Letter: I
Question
Indicate whether each of the following items should be classified as taxes licenses and permits LP întergovernmenta revenues charges for services (CS), fines and forfeits (FF), or miscellaneous revenues (M) in a governmental fund. 1. Sales and use taxes levied by the government. 2. Payments by citizens for use of the city pool. 3. Building permits to construct a deck at a residence. 4. Traffic tickets 5. Federal community development block grant. 6. Donation of bonds to the city by a wealthy resident. 7. Charges to a local university for extra city police protection during sporting events. 8. Barbers and hairdre 9. Income from space rented to a not-for-profit organization 10. A state grant for low-income housing assistance ssers' registration feesExplanation / Answer
1.Taxes This taxes are compulsory contributions to finance the cost of government.Therefore this tax is levied on government.
2.Charges for services It is payment made for a service offered by the government funds.
3.License and Permits It is becuase to constrct a deck at the residence the individuals /enterprise must get a licenses and permits from the government.Here this license and permits charges are source of revenues for the government.
4.FF it is becuase a statutory offense must be fined and forefeited as per the government rules.
5.Intergovernmental revenue This block grant is an other financial assistance incurred by the governrment from federal coomunity.
6. Misc revenues Donations towards bonds from a wealthy resident is a source of revenue incurred by the government.This source of income is categorized under misc revenues.
7.charges for services .It is a charge for using the service police force of the government.
8.License and permist A license and permit from the government must be authorised for the registration of barbers and hair dressers shop.Here this license and permits charge are source of revenue for the government.