An Employer Must Keep All Records Pertaining to Employment Taxes

question 23

Multiple Choice

An employer must keep all records pertaining to employment taxes available for inspection by the IRS. These records may be discarded after the federal income tax has been filed for that year.

• A) The first statement is true and the second statement is false.
• B) The first statement is false and the second statement is true.
• C) Both statements are true.
• D) Both statements are false.

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Definitions:

Annual Performance Reviews

A formal assessment process where an employee's job performance is documented and discussed, often yearly, by supervisors.

Pay Raise

An increase in the amount of salary or wages given to an employee, typically as a recognition of performance or to adjust for inflation and living costs.

Contingent Reward

A leadership strategy where rewards or punishments are given based on the performance of the followers.

Management By Exception

A management strategy where leaders intervene only when necessary, mainly when there are deviations from expected outcomes; it emphasizes autonomy in the regular tasks.