Taxes

The W-4 form lets...

• your employer know how much to withhold from your paycheck

• you claim additional dependents on your tax return

• you request a refund for overpaid taxes

• your employer determine your job title

Which of the following taxes is applied to wages, salaries, dividends, and interest earned?

• Corporate Income Tax

• Income Tax

• Estate Tax

• Excise Tax

True or False: All wages, tips, and bonuses are taxable unless specifically excluded.

• True

• False

• Only wages are taxable

• Only bonuses are taxable

If you owe taxes, which of the following is FALSE?

• You can make a payment using cash

• You can delay your payment deadline

• With an agreement, you can pay it in installments

• You can make a payment with a debit, but not credit card

What do you need to file your 1040 form?

• Your W-2

• Your 1099 form

• Your bank statement

• Your credit report

Jason is 15 and earned $1450 at his job last summer. Should he file a tax return?

• Yes, because he may get a refund.

• No, because he is too young to file.

• Yes, because he earned more than $1000.

• No, because he didn't earn enough.

True or False: A teen's earned income can be reported on a parent's tax return.

• True

• False

• Only if the teen is under 18

• Only if the teen is a full-time student

If a teen files a tax return, can the parent still claim him/her as a dependent?

• No, the parent cannot claim the teen as a dependent.

• Yes, as long as the teen meets the dependency requirements.

• Yes, but only if the teen is under 18 years old.

• No, the teen must file their own taxes independently.

Which is TRUE if you do not pay your taxes?

• You owe twice as much the following year

• You're more likely to be approved for low interest loans

• You cannot go to jail (but you will be heavily fined)

• Your credit score may be impacted

By claiming "exempt" on the W-4 form...

• You will NOT have income taxes withheld from your paycheck.

• You will receive a larger tax refund at the end of the year.

• You will have to pay additional taxes when filing your return.

• You will be exempt from all federal taxes.