| Introduction | 1701 |
| FICA Tax | |
| Purpose of the Tax – Tax Rates | 1702 |
| Maximum Wages Subject to the FICA Tax | 1703 |
| Who is Covered | 1704 |
| Domestic Employees | 1704A |
| Employees vs. Independent Contractors | 1705 |
| Wages Subject to Social Security | 1706 |
| Special Rules for Tips | 1707 |
| Employer’s Identification Number | 1708 |
| Remittance of the Payroll Taxes | 1709 |
| Employer’s Quarterly Return on Form 941 | 1710 |
| FUTA Tax | |
| Purpose of the Tax – Tax Rates | 1711 |
| Who is Subject to the Federal Unemployment Tax | 1712 |
| Wages Subject to Federal Unemployment Tax | 1713 |
| Return and Payment of the Tax | 1714 |
| Withholding Statements | 1715 |
| Transmittal Form W-3 | 1716 |
| Records of Wage Payments | 1717 |
| Information Returns | 1718 |
| Special Reporting Requirements for Restaurants and Beverage Establishments | 1719 |
| How Long Returns and Records Have to be Kept | 1720 |
| Special Rules for Various Types of Services and Payments | 1721 |
| Early Attempts at Income Taxation | 101 |
| The Present Income Tax Law | 102 |
| Introduction – General Principles – Definitions | 103 |
| Classification of Taxpayers | 104 |
| Purpose of the Income Tax Return – Withholding and Estimated Tax | 105 |
| Accounting Period -The Taxable Year | 106 |
| Accounting Methods | 107 |
| The Cash Basis | 108 |
| The Accrual Basis | 109 |
| Change in Accounting Method | 110 |
| When to File the Income Tax Return | 111 |
| Penalties | 112 |
| Installment Payment of Tax | 112A |
| Where and How To File Manual and Electronic Filing | 113 |
| Who Must File a Return | 114 |
| Joint Return of Husband & Wife | 115 |
| Separate Return of Husband & Wife | 116 |
| Who is considered as “Married”? | 117 |
| Special Provision for Married Persons Living Apart | 118 |
| Minors | 119 |
| The Tax Return Forms and Schedules | 120 |
| Payment of the Tax | 121 |
| Section II | |
| Introduction | 122 |
| Gross Income | 123 |
| Deductions from Gross Income | 124 |
| Adjusted Gross Income | 125 |
| Deductions from Adjusted Gross Income | 126 |
| Taxable Income | 127 |
| Tax Credits | 128 |
| The Filing Requirements for Special Taxpayers | 129 |
In addition to the income tax withholding provisions discussed in Assignment 16, employers are subject to two Federal payroll taxes:
While income tax withholding does not really represent a tax on employers or employees – it merely requires the employer to withhold part of the employee’s salary for the payment of his income tax – FICA and FUTA taxes constitute a special group of employment taxes, paid either partially (in the case of FICA tax) or completely (in the case of FUTA tax) by the employer. Although both FICA and FUTA taxes are under the Social Security program, the FICA tax is the one frequently referred to as “Social Security” tax.
More in the Federal Tax Course
| Introduction | 1701 |
| FICA Tax | |
| Purpose of the Tax – Tax Rates | 1702 |
| Maximum Wages Subject to the FICA Tax | 1703 |
| Who is Covered | 1704 |
| Domestic Employees | 1704A |
| Employees vs. Independent Contractors | 1705 |
| Wages Subject to Social Security | 1706 |
| Special Rules for Tips | 1707 |
| Employer’s Identification Number | 1708 |
| Remittance of the Payroll Taxes | 1709 |
| Employer’s Quarterly Return on Form 941 | 1710 |
| FUTA Tax | |
| Purpose of the Tax – Tax Rates | 1711 |
| Who is Subject to the Federal Unemployment Tax | 1712 |
| Wages Subject to Federal Unemployment Tax | 1713 |
| Return and Payment of the Tax | 1714 |
| Withholding Statements | 1715 |
| Transmittal Form W-3 | 1716 |
| Records of Wage Payments | 1717 |
| Information Returns | 1718 |
| Special Reporting Requirements for Restaurants and Beverage Establishments | 1719 |
| How Long Returns and Records Have to be Kept | 1720 |
| Special Rules for Various Types of Services and Payments | 1721 |
| Early Attempts at Income Taxation | 101 |
| The Present Income Tax Law | 102 |
| Introduction – General Principles – Definitions | 103 |
| Classification of Taxpayers | 104 |
| Purpose of the Income Tax Return – Withholding and Estimated Tax | 105 |
| Accounting Period -The Taxable Year | 106 |
| Accounting Methods | 107 |
| The Cash Basis | 108 |
| The Accrual Basis | 109 |
| Change in Accounting Method | 110 |
| When to File the Income Tax Return | 111 |
| Penalties | 112 |
| Installment Payment of Tax | 112A |
| Where and How To File Manual and Electronic Filing | 113 |
| Who Must File a Return | 114 |
| Joint Return of Husband & Wife | 115 |
| Separate Return of Husband & Wife | 116 |
| Who is considered as “Married”? | 117 |
| Special Provision for Married Persons Living Apart | 118 |
| Minors | 119 |
| The Tax Return Forms and Schedules | 120 |
| Payment of the Tax | 121 |
| Section II | |
| Introduction | 122 |
| Gross Income | 123 |
| Deductions from Gross Income | 124 |
| Adjusted Gross Income | 125 |
| Deductions from Adjusted Gross Income | 126 |
| Taxable Income | 127 |
| Tax Credits | 128 |
| The Filing Requirements for Special Taxpayers | 129 |
In addition to the income tax withholding provisions discussed in Assignment 16, employers are subject to two Federal payroll taxes:
While income tax withholding does not really represent a tax on employers or employees – it merely requires the employer to withhold part of the employee’s salary for the payment of his income tax – FICA and FUTA taxes constitute a special group of employment taxes, paid either partially (in the case of FICA tax) or completely (in the case of FUTA tax) by the employer. Although both FICA and FUTA taxes are under the Social Security program, the FICA tax is the one frequently referred to as “Social Security” tax.
More in the Federal Tax Course