FICA Is an Example of a Payroll Tax, Which Is

question 17

True/False

FICA is an example of a payroll tax, which is a tax on the wages that firms pay their workers.

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Definitions:

Non-posting Account

A non-posting account is an account used in accounting software for transactions that affect reports or balances without affecting the general ledger.

Accounting System

A systematic process of recording, measuring, and communicating financial information about economic entities.

Chart of Accounts

A systematic listing of all ledger account titles and numbers used in a company's accounting system.

Income Account

An account used in accounting to track revenue or income generated by a business or individual over a period of time.