Which of these statements are correct? i. A contract for service is an independent contractor; the contractor is responsible for filing his/her own taxes. ii. Emoluments refer to the salary and monetary benefits an individual receives because of being employed. iii. There is no income that is exempt from PAYE. iv. Contract of Service is a contract of employment, and the employer is responsible to account and pay all statutory taxes. Question 20Answer a. i, ii and iii b. i, ii and iv c. i, only d. i. and iv

Which of these statements are correct? i. A contract for service is an independent contractor; the contractor is responsible for filing his/her own taxes. ii. Emoluments refer to the salary and monetary benefits an individual receives because of being employed. iii. There is no income that is exempt from PAYE. iv. Contract of Service is a contract of employment, and the employer is responsible to account and pay all statutory taxes. Question 20Answer a. i, ii and iii b. i, ii and iv c. i, only d. i. and iv

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter9: Payroll Accounting: Employer Taxes And Reports

Section: Chapter Questions

Problem 3MC

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Which of the following is considered an employer payroll tax? A. FICA Medicare B. FUTA C. SUTA D. A and B only E. B and C only F. A, B, and C
Which of these statements are correct? i. A contract for service is an independent contractor; the contractor is responsible for filing his/her own taxes. ii. Emoluments refer to the salary and monetary benefits an individual receives because of being employed. iii. There is no income that is exempt from PAYE. iv. Contract of Service is a contract of employment, and the employer is responsible to account and pay all statutory taxes. a.i, ii and iv b.i. and iv c.i, only d.i, ii and iii
Which of these statements are correct? A contract for service is an independent contractor; the contractor is responsible for filing his/her own taxes. Emoluments refer to the salary and monetary benefits an individual receives because of being employed. There is no income that is exempt from PAYE. Contract of Service is a contract of employment, and the employer is responsible to account and pay all statutory taxes. a. i, ii and iv b. and iv c. i, only d. i, ii and iii
Which of the following items is exempt from including into the assessable income for salaries tax purposes? Select one: a. Leave pay b. Commission c. Compensation for termination of employment not provided in the contract d. End of contract gratuities
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Question 6: FUTA tax is paid solely by the employer. Answer: A. True В. False
It is mandatory for both the employer and employee to pay ________. A. employee income tax B. FICA C. SUTA D. federal unemployment tax
6. Which of the following is subject to income tax? A. De minimis benefits B. Income tax paid by the employer in behalf of the employee C. Fringe benefit required by the nature of or necessary to trade business or profession of the employer D. Those granted for the convenience of the employer
Question 5: Which of the following employee taxes is matched by the employer? Answer: А. State unemployment tax Federal income tax C. Medicare tax D. Federal unemployment tax B.
Question 13: Which of the following is a true statement regarding the W-2 Form? Answer: А. Employers must submit the W-2 Form regardless of the amount of compensation paid to employees. Sending a copy of the W-2 Form to the employee is optional. C. The control number on the W-2 Form must be completed by the employer. D. The W-2 Form includes both federal and state tax information. B.
1. What loan from the federal government given to individual states is used to provide unemployment benefits to state residents? Answer: A. SUTA Advances B. FUTA Advances C. Title XII Advances D. Title 15 Advances 2. The SUTA tax rate is determined by an employer’s _____. Answer: A. credit reduction B. FUTA tax rate C. experience rating D. Medicare tax rate 3. Identify each item as associated with Form 1099-NEC, Form 1096, or both. A. Displays earnings for one individual Form 1099-NEC Form 1096 Both B. Displays earnings for multiple individuals Form 1099-NEC Form 1096 Both C. Requires a signature Form 1099-NEC Form 1096…
1. Form 1096 is completed by the employer and submitted to the IRS for what purpose? Answer: A. To report total annual earnings for a single independent contractor B. To report all overtime paid to all independent contractors C. To report total compensation paid to all independent contractors during the year D. To report all expenses incurred by and reimbursed to an independent contractor 2. Which statement regarding SUTA taxes is accurate? Answer: A. The SUTA tax rate is the same as the FUTA tax rate in all fifty states. B. The SUTA tax rate is reduced by a 5.4% credit for most states. C. There is no threshold over which SUTA taxes are not levied. D. In most states, SUTA taxes are paid solely by the employer and never by the employee. 3. FUTA tax payments must be made at the end of a quarter when the total tax…