1
What is a dependent
someone that is under 19, unless college rule applies
and receives more than half of their support from someone else
Could also be an adult the meets the requirements
What is one of the benefits to using tax filing software or a website to file your taxes
cheaper than accountant
less likely to make mistakes
others...
If someone fills out their w-4 and does not have enough withheld for taxes, what will happen
They will have to pay the difference between their withholdings and amount owed
What does withholding mean on a pay stub
Money withheld from a paycheck for taxes, insurance, or retirement
How would you describe net pay
gross pay minus deductions
Which paycheck withholding puts money into your individual retirement account
401K
How do you know if you have to pay federal income tax or not?
if you make more than the standard deduction
When you overpay your taxes and the government owes you money it is called a _____________
Refund
If you own your own business and have earned less than the standard deduction do you have to file a tax return?
yes
Why is it important to complete your 1040 form correctly
Because the outcome determines if you get a refund or have to pay additional taxes
These mandatory government spending categories can be found on your pay stub (2 answers)
Social Security and Medicare
Where is the filing status found on the W-4
At the top underneath the address
When is the deadline to file your taxes according to the study materials?
April 15th
Does a W-2 show you gross wages or net pay in box 1
Gross Pay
Phyllis is 16 and has earned $12,000 from a part-time job. Does she have to file a tax return? Should She? Why?
No
Yes
to get back any fed tax withheld
Which tax form should you receive I receive if I worked for an employer as a contractor rather than an employee
1099
What is the name of the tax form you will fill out when you start working for a new employer?
W-4
This form comes in the mail from your employer and contains info needed to do your taxes
W-2
This form is used to file your tax return
1040
What is the I-9 form for
Employment eligibility verification (record of ID)
If Bill is claimed as a dependent by his parents and made $5000 at a part-time job with $500 withheld for taxes, what will happen if Bill doesn't file a tax return
He will lose out on a refund of $500
Who makes the tax code?
How is the IRS like law enforcement?
congress through legislation
They don't make the law they only enforce it
What is a schedule, as it relates to taxes
a separate worksheet, table, or document from the main tax form
If Julia earned 3500 in Gross pay, what is her net pay if witholdings are the following
Social Security 6.2%
Medicare 1.45%
Fed. Income Tax 10%
$2882.25
When is the new deadline to file your taxes in 2023
April 18th