The How's of Taxes Module 1 Quiz

The Medicare tax rate is

• 1.45%

• 6.20%

• 7.65%

• 25.00%

Employees send their payroll taxes directly to the federal government.

• true

• false

Which form do employers use to compute the amount of federal income tax to withhold?

• Form W-2

• Form W-4

• Form 1040

Net pay is the amount of pay an employee earns before taxes are deducted.

• true

• false

Who completes Form W-4?

• Employee

• Employer

• IRS

• Your mama

Look at this Form W-4. Who completed it?

• Olivia Sanchez

• Bianca Rodriguez

• John Doe

Look at this Form W-4. How many allowances did the taxpayer claim?

• 1

• 2

• 3

• 4

Look at this Form W-4. Is the taxpayer single or married?

• Single

• Married

• Married, but withhold at the higher Single rate.

Look at this Form W-4. Does the taxpayer want additional amounts to be withheld?

• Yes

• No

Look at this Form W-4. Is the taxpayer exempt from withholding?

• Yes

• No