Is federal income tax a direct or indirect tax? Explain your answer.

It is a direct tax because when you file your taxes you pay straight to the government.

Explanation:

Though the particular definitions vary between jurisdictions, in general, a direct tax could be a tax obligatory upon an individual or property as distinct from a tax obligatory upon a dealing, that is delineated as associate revenue enhancement.

A federal tax may be a tax levied by the U nited States tax income Service (IRS) on the annual earnings of people, companies, trusts, and alternative legal entities.

The federal income tax is a direct tax For salaried and wage employees, it is deducted from pay and paid to the government at the time salaries or wages are earned.