In cases where an employee claims more than 10 allowances, and the employer uses the wage-bracket tables:

a.The employer may withhold as if the employee claimed only 10 allowances.

b.The employer must request that the employee complete a new Form W-4.

c.The employer has six different methods to choose from, when determining the amount to withhold.

d.The employer may choose not to withhold any federal income tax.

Q: Local income taxes:

a.Must be withheld in cities/counties if applicable legislation has been passed; it is then optional for an employer to withhold and deposit accordingly.

b.Must be withheld in cities/counties if applicable legislation has been passed; it is then mandatory for an employer to withhold and deposit accordingly.

c.Have been outlawed by federal legislation passed in 2020.

d.Are voluntary in many cities and counties.

Q: Fahrad utilizes multiple independent contractors in his drywall construction business; one of them neglects to provide him with the appropriate TIN. Accordingly, Sherwin must take backup income tax withholding out of the payments of $6,150 to the contractor of:

a.$0

b.$ 6150.00

c.$1,476.00

d.Fahrad should consult the wage bracket tax tables to determine the amount of withholding

Q: Save the Sea Lions Ltd posted their current year W-2s for their 16 employees to a secure Web site on January 28 of the subsequent year. The W-2s totaled $562,931.64, and (due to a software error) the names and Social Security numbers did not match. How much of a late filing penalty will they be liable for?

a.$1,600

b.$800

c.$4,480

d.$0

Q: Donna is married, claims 9 allowances and earns $2,700 biweekly. Donna's tax using the wage bracket method is

a.$82.

b.$112.

c.$42.

d.$79.