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20 Cards in this Set
- Front
- Back
Employers do not pay payroll taxes on payments made to independent contractors. T/F |
True |
|
FICA defines wages as including the cash value of meals provided for the convenience of the employees. T/F |
True |
|
The Federal Insurance Contribution Act levies a tax upon the gross earnings of self-employed persons. |
False net earnings, not gross earnings |
|
FICA includes partnerships in its definition of employer. |
True |
|
The highest paid executives of a firm are excluded from coverage under the Federal Insurance Contributions Act (FICA) |
False |
|
Employers do not pay payroll taxes on payments made to independent contractors. |
True |
|
Under FICA only, cash tips of more than $100 in a month are defined as taxable wages. |
False more than $20 |
|
In computing their own FICA taxes, employers may exclude the total amount of tips reported to them by their tipped employees. |
False they match it |
|
Employer payments made directly to employees in lieu of health insurance coverage are taxable wages. |
True |
|
The FICA Tax rates and taxable wage bases are exactly the same for employees and employers. |
True |
|
OASDI taxes are levied when the wages are earned by, rather than when paid to, employeer |
false on payday |
|
If an employee who works two or more seperate jobs, pays OASDI taxes on wages in excess of the taxable wage base, the employee is entitled to a refund of the overpayment. |
True |
|
Under SECA, all of an individual's self-employment income is counted in determining the OASDI tax. |
False Only net income |
|
All employers of one or more persons must file an application for an identification number. |
True |
|
The Social Security Act does not require self-employed persons to have an account number. |
False |
|
The Social Security Act requires workers to obtain a new account number each time they change jobs, |
False |
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State and local government employers must make their tax deposits according to a different schedule than private employers. |
False |
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A monthly depositor is one who reported employment taxes of $50,000 or more for the four quarters in the lookback period. |
False |
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The employees of a semiweekly depositor are paid every Tuesday. The accumulated payroll taxes must be deposited on or before the following Friday. |
True |
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An employer's social security and withheld income taxes for the quarter are less then $2,500. The employer must deposit the taxes online at the time of filing the fourth quarter Form 941 |
False |