Taxes

Which form is used by employees to compute the amount of income tax to withhold?

• W2

• W4

• I9

• 1099-INT

Who completes the W2?

• Employer

• Employee

• Federal government

Which form is used by businesses to ensure your legal right to work upon hiring?

• W2

• W4

• I9

• 1099-INT

What is the W2 used for?

• to determine amount of compensation received by employees

• to complete individual income tax returns

• to determine the amount of tax to be withheld

Net pay is

• the amount an employee receives BEFORE all taxes and deductions

• the amount an employee receives AFTER all taxes and deductions

• the amount an employee takes home

• both a and c

• both b and c

What is the charge for the use of borrowed money called?

• taxes

• interest

• wages

• compensation

Gross pay is:

• The amount an employee receives BEFORE all taxes and deductions

• The amount an employee receives AFTER all taxes and deductions

• The amount an employee takes home

• both a and c

• both b and c

Which of the following is NOT a tax filing status?

• single

• married filing jointly

• head of household

• divorced

Exemptions will

• increase the amount of taxable income

• reduce the amount of taxable income

• not affect the amount of taxable income

Itemized or standard deductions will

• increase the amount of taxable income

• decrease the amount of taxable income

• not affect the amount of taxable income