Personal income tax is money that is received from activities that you have undertaken personally. Wages, business money, tips, and more are considered personal income. Personal income tax is the money that you receive from activities that you have undertaken personally such as wages for your hours of employment, business earnings from a part-time or full-time business or online sales and yard sale type of activities, tips from inside or outside of your place of employment, gambling winnings or winnings from other contests, and the physical items that you receive instead of income. Income tax is owed on personal income a varying percentage rates depending upon your individual circumstances. Personal income tax can be owed to the federal government, your state government, and at times to a city or local government as well. If income taxes are not paid, fines are charged along with a percentage of new money owed for every month that you are late in paying. At times, people go to prison for not paying their taxes. While it might not seem fair, there is a reason behind governments needing to collect personal income tax amounts from their citizens. The money that everybody contributes in taxes goes to fund the services that the whole community benefits from. Tax money is used to keep schools open, to help state authorities pay for law enforcement officials, and to help staff the United States government. Personal income tax money is used wisely. Personal income tax rates will often increase during periods of unrest in our country. When disasters, wars, or a bad economy causes extra work that must be done to support or change the situation, tax rates can go up to pay for these expenses. As an example, the state of California raised personal income taxes in their state to help pay for schools, law enforcement, and public services after the government ran out of money. The easiest way to pay your personal income tax debt is by filing your tax returns online. Federal, state, and applicable local tax forms are all available from easy-to-use online tax preparation services. Online services have studied the laws, and have created programs that ask users all necessary questions so that no income source or deduction is missed. When personal income tax forms are filed online, the tax refund checks can arrive fast.