Examlex
Which of the following sequences is correct?
Income Tax Withholding
The process where employers deduct tax from employees' wages and directly pay it to the government.
Exemption
In taxation, an exemption is a monetary exclusion that can be applied to reduce taxable income, often granted by the government to reduce the tax burden for certain groups, circumstances, or types of income.
Qualifying Relative
A dependent for whom the taxpayer provides financial support and who meets certain IRS criteria for tax benefits.
Dependent Taxpayer Test
Criteria used to determine if a taxpayer can be claimed as a dependent on someone else's tax return, affecting exemptions and credits.
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