All of the Following Statements Regarding FICA Taxes Are True

question 58

Multiple Choice

All of the following statements regarding FICA taxes are true except:

• A)FICA taxes are deducted from the employee.
• B)Employers must pay withheld FICA taxes to the IRS.
• C)The amount of FICA deducted from the employee is credited to a liability account.
• D)FICA taxes include Medicare taxes and state income taxes.
• E)An employer must pay FICA taxes equal to the amount withheld from the employee.

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Definitions:

Federal Government

The national government of a federal state, which holds authority over matters not reserved for state or local governments.

States

Distinct territorial and political entities within a federal system, possessing their own government and autonomy to some extent.

Drinking Water

Water that is considered safe and clean for human consumption, meeting established health standards.

State Governments

represent the governing bodies of individual states in a federal system, responsible for local law and order, education, and public health, among other areas.