Taxes and W-4 Form Test
what does IRS stand for and what do they do?
IRS stands for internal revenue service and their job is to collect taxes and make sure U.S. citizens pay their fair share
what two things is the amount of taxes employers withhold based on?
-how much money an employee earns -the information provided on the W-4 form
when an employee starts a new job, which is LEGALLY REQUIRED to be completed?
W-4 form
what is the purpose of a W-4 tax form?
a W-4 tells employers how much money must be withheld from employees' paychecks to pay their shares of taxes.
what is a basic definition of a dependent?
a dependent is someone who depends on another person for over half of their total financial support
which taxes are not included as withholding tax?
real estate taxes
what is the difference between social security and medicare?
social security supplements workers' retirement programs and helps disabled and unemployed people. medicare is a governmemnt health insurance program for people aged 65 and older or disabled people.
the W-4 form is used by employers to determine what?
the amount of money to be withheld from an employee to pay taxes
workers who pay FICA taxes....
typically qualify to receive payments and benefits in the future
which of these is the money an employer withholds from an employee's paycheck?
withholding
what is withholding tax and what types of taxes does it include?
withholding tax is tax money withheld or deducted from employees' paychecks in order to pay U.S. taxes. it includes federal income taxes, state income taxes, and FICA taxes.
