Identify the Statement Below That Is False

question 66

Multiple Choice

Identify the statement below that is false.

• A) If an employer is not required to withhold income taxes from an employee's wages, the wages are not taxable to the employee.
• B) In certain situations, income tax withholding by an employer is voluntary.
• C) An employer must deposit with the government an amount of FICA tax that is twice the amount withheld from the employee's salary (i.e., the employee's and employer's shares).
• D) If an excess amount of FICA has been withheld for an employee because the employee has multiple jobs, the employee may claim a credit for the excess amount withheld on his or her income tax return.
• E) None of the above statements are false.

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Definitions:

Binds the Firm

Implies an agreement or action that legally obligates a company to a particular course of action or contractual obligation.

Partnership Obligation

Legal responsibilities and duties that arise in a business partnership, including fiduciary duties and liabilities shared among partners.

Participated

Taking part or getting involved in an activity or event.

Knew About

Had awareness or knowledge of a fact, situation, or detail, often relevant in legal and decision-making contexts.