Want to skip ahead? Click any alphabet below: 

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

I

income taxes

Taxes on income, both earned (salaries, wages, tips, commissions) and unearned (interest, dividends). Income taxes can be levied on both individuals (personal income taxes) and businesses (business and corporate income taxes).

independent contractor

Performs services for others. The recipients of the services do not control the means or methods the independent contractor uses to accomplish the work. The recipients do control the results of the work; they decide whether the work is acceptable. Independent contractors are self-employed.

indirect tax

A tax that can be shifted to others, such as business property taxes.

infant industry

A new or developing domestic industry whose costs of production are higher than those of established firms in the same industry in other countries.

inflation

The simultaneous increase of consumer prices and decrease in the value of money and credit.

informal tax legislation process

Individuals and interest groups expressing and promoting their opinions about tax legislation.

interest

The charge for the use of borrowed money.

interest income

The income a person receives from certain bank accounts or from lending money to someone else.

Intermediate Service Provider

Assists in processing tax return information between the ERO (or the taxpayer, in the case of online filing) and the Transmitter.

Internal Revenue Service (IRS)

The federal agency that collects income taxes in the United States.

investment income

Includes taxable and tax-exempt interest, dividends, capital gains net income, certain rent and royalty income, and net passive activity income.

IRS e-file

Refers to the preparation and transmission of tax return information to the IRS using telephone lines or a computer with a modem or Internet access.