Question 1

Failure to furnish a correct TIN to a requester payer)can result in a penalty to the payee of:

Accepted Answer

A) $500 maximum for failure to complete any W-9 forms as required. 
B) $0,it is the responsibility of the payer requester)to have the correct information. 
C) $0,but the taxpayer can be subject to fines and/or imprisonment if caught by an IRS agent. 
D) $50 for each failure to complete the W-9. 
A) $500 maximum for failure to complete any W-9 forms as required. 
B) $0,it is the responsibility of the payer requester)to have the correct information. 
C) $0,but the taxpayer can be subject to fines and/or imprisonment if caught by an IRS agent. 
D) $50 for each failure to complete the W-9. D

Question 2

Angie earned $124,200 during 2016.She is single,claims two withholding allowances,and is paid monthly.How much federal withholding tax will Angie's employer withhold for 2016?

Accepted Answer

A) $25,034.52. 
B) $26,048.52. 
C) $25,216.92. 
D) $24,914.52. 
A) $25,034.52. 
B) $26,048.52. 
C) $25,216.92. 
D) $24,914.52. D

Question 3

Failure to furnish a correct TIN to a requester payer)can result in a penalty for the payee of:

Accepted Answer

A) $50 for each failure to complete a W-9. 
B) $0,it is the responsibility of the payer requester)to have the correct information. 
C) $25 for each failure to complete a W-9. 
D) $500 maximum for failure to complete any W-9 forms as required. 
A) $50 for each failure to complete a W-9. 
B) $0,it is the responsibility of the payer requester)to have the correct information. 
C) $25 for each failure to complete a W-9. 
D) $500 maximum for failure to complete any W-9 forms as required. A

Question 4

Irene earned wages of $119,200 during 2016.What share of FICA tax is Irene's employer responsible for in 2016?

Accepted Answer

A) $9,075.40. 
B) $9,065.25. 
C) $9,118.80. 
D) $9,108.65. 
A) $9,075.40. 
B) $9,065.25. 
C) $9,118.80. 
D) $9,108.65.

Question 5

Generally,an employer must withhold 28% of certain taxable payments if the payee fails to furnish the employer with a correct taxpayer identification number.

Accepted Answer

A) True 
 B)False

Question 6

An employer who is a monthly schedule depositor and accumulates a $100,000 tax liability on any day must pay the tax on the next business day and is allowed by law to remain a monthly schedule depositor until the next year when the employer will become a semiweekly schedule depositor.

Accepted Answer

A) True 
 B)False

Question 7

Maeda Company has the following employees on the payroll:
   Using the above information calculate the FICA taxes and federal income tax for the second quarter of 2016.Assume that the payroll is consistent every pay period in January through June and that all tax deposits were made on a timely basis as required for the prior quarter.What is the total tax liability due for the second quarter?

Accepted Answer

The answer of Maeda Company has the following employees on...

Question 8

The payroll tax withholding system was established to help fund governmental operations.

Accepted Answer

A) True 
 B)False

Question 9

An employee who works for multiple employers will likely be under-withheld for federal income tax purposes and can owe additional taxes when filing his/her return.

Accepted Answer

A) True 
 B)False

Question 10

Form 941 is prepared by the employer on a quarterly basis to record all of the following payroll taxes except:

Accepted Answer

A) Medicare tax. 
B) Federal withholding tax. 
C) Social security tax. 
D) FUTA. 
A) Medicare tax. 
B) Federal withholding tax. 
C) Social security tax. 
D) FUTA.

Question 11

FICA taxes are collected equally from the employee and the employer.

Accepted Answer

A) True 
 B)False

Question 12

Only wages paid in cash are subject to federal withholding.

Accepted Answer

A) True 
 B)False

Question 13

Irene earned wages of $119,200 during 2016.How much will Irene's employer withhold in Medicare taxes for the year?

Accepted Answer

A) $1,728.40. 
B) $1,696.50. 
C) $1,711.00. 
D) $1,718.25. 
A) $1,728.40. 
B) $1,696.50. 
C) $1,711.00. 
D) $1,718.25.

Question 14

The federal income and social security taxes reported on a W-2 form are the amounts used to determine if a taxpayer will receive a refund on a Form 1040.

Accepted Answer

A) True 
 B)False

Question 15

A taxpayer pays 6.2% of taxable wages for both social security and Medicare taxes.

Accepted Answer

A) True 
 B)False

Question 16

What form is given to an employee to correct incorrect payroll information?

Accepted Answer

A) W-9. 
B) W-2C. 
C) W-4. 
D) None.The employee notifies the IRS directly when he or she files a Form 1040. 
A) W-9. 
B) W-2C. 
C) W-4. 
D) None.The employee notifies the IRS directly when he or she files a Form 1040.

Question 17

Employers must prepare and send to employees the multi-part W-3 no later than January 31 of the following year.

Accepted Answer

A) True 
 B)False

Question 18

Supplemental wages are subject to the following taxes:

Accepted Answer

A) Federal withholding taxes. 
B) Unemployment taxes. 
C) FICA taxes. 
D) All of these. 
A) Federal withholding taxes. 
B) Unemployment taxes. 
C) FICA taxes. 
D) All of these.

Question 19

For semiweekly schedule depositors,taxes withheld from payrolls paid during the week are due to be remitted within three banking days after the date wages are paid.

Accepted Answer

A) True 
 B)False

Question 20

Supplemental wages are only subject to FICA taxes and federal withholding taxes and are not subject to SUTA or FUTA taxes.

Accepted Answer

A) True 
 B)False

Failure to furnish a correct TIN to a requester payer)can result in a penalty to the payee of:

Angie earned $124,200 during 2016.She is single,claims two withholding allowances,and is paid monthly.How much federal withholding tax will Angie's employer withhold for 2016?

Failure to furnish a correct TIN to a requester payer)can result in a penalty for the payee of:

Irene earned wages of $119,200 during 2016.What share of FICA tax is Irene's employer responsible for in 2016?

Generally,an employer must withhold 28% of certain taxable payments if the payee fails to furnish the employer with a correct taxpayer identification number.

An employer who is a monthly schedule depositor and accumulates a $100,000 tax liability on any day must pay the tax on the next business day and is allowed by law to remain a monthly schedule depositor until the next year when the employer will become a semiweekly schedule depositor.

The payroll tax withholding system was established to help fund governmental operations.

An employee who works for multiple employers will likely be under-withheld for federal income tax purposes and can owe additional taxes when filing his/her return.

Form 941 is prepared by the employer on a quarterly basis to record all of the following payroll taxes except:

FICA taxes are collected equally from the employee and the employer.

Only wages paid in cash are subject to federal withholding.

Irene earned wages of $119,200 during 2016.How much will Irene's employer withhold in Medicare taxes for the year?

The federal income and social security taxes reported on a W-2 form are the amounts used to determine if a taxpayer will receive a refund on a Form 1040.

A taxpayer pays 6.2% of taxable wages for both social security and Medicare taxes.

What form is given to an employee to correct incorrect payroll information?

Employers must prepare and send to employees the multi-part W-3 no later than January 31 of the following year.

Supplemental wages are subject to the following taxes:

For semiweekly schedule depositors,taxes withheld from payrolls paid during the week are due to be remitted within three banking days after the date wages are paid.

Supplemental wages are only subject to FICA taxes and federal withholding taxes and are not subject to SUTA or FUTA taxes.

Introduction to Taxation, the Income Tax Formula, and Form 1040ez

Expanded Tax Formula, forms 1040a and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, royalties, and Income From Flow-Through Entities Line 17, form 1040, and Schedule E

Tax Credits Form 1040, lines 46 Through 54 and Lines 66a Through 73

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Corporate Taxation

Filters

Exam 10: Payroll Taxes

Failure to furnish a correct TIN to a requester payer)can result in a penalty to the payee of:

Angie earned $124,200 during 2016.She is single,claims two withholding allowances,and is paid monthly.How much federal withholding tax will Angie's employer withhold for 2016?

Failure to furnish a correct TIN to a requester payer)can result in a penalty for the payee of:

Irene earned wages of $119,200 during 2016.What share of FICA tax is Irene's employer responsible for in 2016?

Generally,an employer must withhold 28% of certain taxable payments if the payee fails to furnish the employer with a correct taxpayer identification number.

An employer who is a monthly schedule depositor and accumulates a $100,000 tax liability on any day must pay the tax on the next business day and is allowed by law to remain a monthly schedule depositor until the next year when the employer will become a semiweekly schedule depositor.

The payroll tax withholding system was established to help fund governmental operations.

An employee who works for multiple employers will likely be under-withheld for federal income tax purposes and can owe additional taxes when filing his/her return.

Form 941 is prepared by the employer on a quarterly basis to record all of the following payroll taxes except:

FICA taxes are collected equally from the employee and the employer.

Only wages paid in cash are subject to federal withholding.

Irene earned wages of $119,200 during 2016.How much will Irene's employer withhold in Medicare taxes for the year?

The federal income and social security taxes reported on a W-2 form are the amounts used to determine if a taxpayer will receive a refund on a Form 1040.

A taxpayer pays 6.2% of taxable wages for both social security and Medicare taxes.

What form is given to an employee to correct incorrect payroll information?

Employers must prepare and send to employees the multi-part W-3 no later than January 31 of the following year.

Supplemental wages are subject to the following taxes:

For semiweekly schedule depositors,taxes withheld from payrolls paid during the week are due to be remitted within three banking days after the date wages are paid.

Supplemental wages are only subject to FICA taxes and federal withholding taxes and are not subject to SUTA or FUTA taxes.

Introduction to Taxation, the Income Tax Formula, and Form 1040ez

Expanded Tax Formula, forms 1040a and 1040, and Basic Concepts

Gross Income: Inclusions and Exclusions

Adjustments for Adjusted Gross Income

Itemized Deductions

Self-Employed Business Income Line 12 of Form 1040 and Schedule C

Capital Gains and Other Sales of Property Schedule D and Form 4797

Rental Property, royalties, and Income From Flow-Through Entities Line 17, form 1040, and Schedule E

Tax Credits Form 1040, lines 46 Through 54 and Lines 66a Through 73

Retirement and Other Tax-Deferred Plans and Annuities

Special Property Transactions

At-Riskpassive Activity Loss Rules and the Individual Alternative Minimum Tax

Partnership Taxation

Corporate Taxation

Filters