The Anderson Company started its business on August 3^rd.On August 14^th,it paid wages for the first time and accumulated a tax liability of $47,000.On August 28,it incurred an additional tax liability of $53,000.How is the Anderson Company treated as a payroll tax depositor?

Question

Quizplus · Accepted Answer

The Anderson Company is treated as a semiweekly payroll tax depositor because its accumulated tax liability for the month (August) is $100,000 or more. Once this threshold is reached, the company must deposit its payroll taxes on a semiweekly basis for the remainder of the year, regardless of its tax liability in subsequent months.

The Anderson Company Started Its Business on August 3rd

The Anderson Company Started Its Business on August 3^rd