Extra Charges

Did you ever shop at a toy store and wonder why a teddy bear that is marked for $19.99 costs $21.59 at the register? What is this extra charge called? Where does the money go?

The extra charge is called a tax. There are lots of different taxes in America that pay for different services for you and me.

Every state can choose how to use taxes, but in general, the sales tax you paid on your teddy bear goes toward the cost of keeping roads in good condition and pays for the services police and firefighters provide.

When you live in a house, you pay taxes called property taxes. Some of these taxes can also help pay for police officers and firefighters. Property taxes pay for schools, teachers, principals, books, and everything you need to learn in school.

City and state taxes pay for our city and state government buildings and officials. A public official is a person whose job is to serve the people. Let's learn about a few public officials.