Chapter 8 Vocab Test

Question 1

number assigned by the IRS that is used by an employer when recording and paying payroll and income taxes

Answer 1

Employer Identification number (EIN)

Question 2

form filled out by an employer to get an EIN

Answer 2

Form SS-4

Question 3

another term used to describe FIT, OASDI, and Medicare

Answer 3

Form 941 taxes

Question 4

period of time used to determine whether a business should make its Form 941 tax deposits on a monthly or semiweekly basis

Answer 4

Look-back period

Question 5

business classified as this will make its payroll tax deposits only once each month for the amount of Form 941 taxes due from the prior month

Answer 5

Monthly depositor

Question 6

Business classified as this may have to make its payroll tax deposits up to twice in one week, depending on when payroll is paid

Answer 6

Semiweekly depositor

Question 7

Any day that a bank is open to the public for business

Answer 7

Banking day

Question 8

Tax report that a business will complete after the end of each calendar quarter indicating the total FICA taxes owed plus the amount of FIT withheld from employees’ pay for the quarter

Answer 8

Form 941, Employer’s Quarterly Federal Tax Return

Question 9

Three-month, 13-week time period

Answer 9

Calendar quarter

Question 10

Form used by employers at the end of the calendar year to report the amount of unemployment tax due for the year

Answer 10

Form 940, Employer’s Annual Federal Unemployment Tax Return

Question 11

Form completed by the employer at the end of the calendar year to provide a summary of gross earnings and deductions to each employee

Answer 11

Form W-2, Wage and Tax Statement

Question 12

Form completed by the employer to verify the number of W-2s and amounts withheld as shown on them

Answer 12

Form W-3, Transmittal of Wage and Tax Statements