Which of the Following Statements Regarding FICA Taxes Is True

question 179

Multiple Choice

Which of the following statements regarding FICA taxes is true?

• A)Low-income employees are not required to pay FICA taxes.
• B)An employee who has two different employers during the year may be entitled to a tax credit for overpaid FICA taxes.
• C)The maximum amount of Medicare taxes an employee is required to pay is capped each year but the maximum amount of Social Security taxes is not.
• D)The wage base limit for Social Security taxes depends on the taxpayer's filing status.

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Definitions:

Biological Reasons

Biological reasons pertain to the underlying physiological and genetic factors that influence physical and mental health, behaviors, and traits.

Hayflick Limit

The number of times a human cell is capable of dividing into two new cells. The limit for most human cells is approximately 50 divisions, an indication that the lifespan is limited by our genetic program.

Cells

The basic structural, functional, and biological units of all living organisms, serving as the building blocks of life.

Divide

To separate or split something into parts or to share among several.