You get your first paycheck and notice that a percentage of your money has gone to taxes. Your employer explains that everyone has to pay taxes. Why do you have to pay taxes? What would happen if you did not pay taxes? What type of taxes do you currently have to pay and why?

Your friend fills out their first tax form and is confused between adjusted and gross income. How can you explain the difference to your friend so that they can understand the difference? Give an example on why your friend’s income may be adjusted.