U.S. taxation refers to the system by which the federal, state, and local governments collect money from individuals and businesses to fund public services and programs. The main types of taxes include income tax, sales tax, and property tax. The Internal Revenue Service (IRS) is the federal agency responsible for administering and enforcing tax laws. Individuals and businesses must file tax returns annually, reporting their income and calculating the amount owed or refunded. Tax rates can vary based on income levels, with higher earners typically paying a larger percentage. Understanding U.S. taxation is essential for compliance and financial planning.