Maywood Company withholds $720 from Steve's paycheck for federal income tax.This amount is part of the company's payroll tax expense.

Question

Quizplus · Accepted Answer

The amount withheld from Steve's paycheck for federal income tax is part of Steve's personal income tax obligation, not the company's payroll tax expense. Payroll taxes for the company typically include Social Security and Medicare taxes, federal and state unemployment taxes, but not the income taxes withheld from employees' paychecks.

Maywood Company Withholds $720 from Steve's Paycheck for Federal Income