FORMS
True or False
Vocabulary
What do you DR? CR?
Riddles
100
This is completed when all FIT and FICA taxes are deposited
Form 941
100
Employers must pay FICA (OASDI and Medicare) equal to 1 1/2 times the employees payment.
False The employer pays exactly the same amount of FICA taxes as the employees do.
100
All earnings before deductions.
Gross Earnings (Gross Pay)
100
The journal entry to transfer between the cash and payroll cash account to "fund" the payroll account.
DR Cash - Payroll Checking
CR Cash - Regular Checking
100
Why don't skunks have to pay taxes?
Because they only have one scent.
200
This is filled out by the employees and used by employers to supply needed information about the number of allowances claimed, marital status...
Form W4
200
The payroll register is the source of data used to journalize the payroll in the general journal.
True
200
Gross Earnings less deductions =
Net Pay (take home pay)
200
The journal entry to deposit Form 940 taxes owed
DR FUTA payable
CR Cash
200
What do a duck, a pelican and the IRS have in common?
They all have big bills.
300
Form completed by the employer at the end of the calendar year to provide a summary of gross earnings and deductions to each employee.
Form W2
300
Very few companies use a special checking account for paying their payroll. (Just the larger ones.)
False
300
Period of time used to determine whether a business should make its From 941 tax deposits on a monthly or semi monthly basis.
Look Back Period
The period of time is a 12-month period that starts July 1 two years earlier
300
The journal entry to record the distribution of pay checks.
DR Wages and Salaries Payable
CR Cash-Payroll Checking
300
Why did Sherlock Holmes get audited by the IRS?
He had too many deductions.
400
Form used by employers at the end of the calendar year to report the amount of unemployment tax due for the year.
Form 940
400
Form W-2s must be distributed to employees no later than January 15.
False January 31.
400
Certain dollar amounts of a person's income tax that will be considered nontaxable for income tax withholding purposes.
Allowances (also called exemptions)
400
The journal entry to record the 941 deposit.
DR FIT payable
DR FICA-OASDI payable
DR FICA - Medicare payable
CR Cash
400
An accounting word with three consecutive double letters.
Bookkeeper.
500
Form completed by the employer to verify the number of W-2s and amounts withheld.
Form W3
500
The payment system that most companies use to pay their Form 941 taxes is called the Electronic Federal Tax Payment System (EFTPS)
True
500
Part of the Social Security Act of 1935, this law taxes both the employee and employer up to a certain maximum rate and wage base for OASDI purposes. It also taxes both for Medicare purposes which has no wage base maximum.
FICA (Federal Insurance Contributions Act)
500
What is the journal entry for Form 940? 
DR FUTA payable $142
CR Cash $142
500
Which superhero pays no tax?
Spiderman, all his income is net.