Which One of the Following Statements Does Not Apply to the Federal

question 30

Multiple Choice

Which one of the following statements does not apply to the Federal Insurance Contribution Act (FICA) ?

• A)The proceeds raised from the FICA tax are used to finance old-age, survivors, and disability insurance payments (Social Security benefits).
• B)Amounts withheld from an individual's paycheck for social security are not subject to income tax.
• C)An employer is required to withhold both Federal income taxes and FICA taxes from each employee's wages paid during the year.
• D)FICA taxes are imposed on each dollar of an employee's wages up to a fixed amount per year.
• E)The employer is required to pay over to the Federal government both the employee's portion of FICA tax and his own portion of the FICA tax.

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Definitions:

Increased Standard

Refers to the raising of expectations or benchmarks, typically aimed at achieving higher quality or improved performance.

Self-awareness

The conscious knowledge of one's own character, feelings, motives, and desires, playing a critical role in psychological development.

Stability and Change

Concepts referring to the persisting characteristics of an entity or situation and the evolution or alteration it may undergo over time.

Personality Traits

Enduring patterns of thoughts, feelings, and behaviors that distinguish individuals from one another.