tailieunhanh - Accounting and Finance Revision Notes_10

Tham khảo tài liệu 'accounting and finance revision notes_10', tài chính - ngân hàng, kế toán - kiểm toán phục vụ nhu cầu học tập, nghiên cứu và làm việc hiệu quả | Reporting CHAPTER 9 What Wages Are Subject to Taxes The Internal Revenue Service IRS makes available publications on what constitutes wages for the purpose of tax liabilities. Essentially wages subject to taxes include all compensation given to an employee for services performed. The pay may be in cash vacation allowances bonuses and commissions. Other special considerations to be checked in current IRS publications include Partially exempt employment Moving expenses Fringe benefits Taxable tips Depositing Taxes. Federal deposit coupon books Form 8109 are used to deposit paid and withheld taxes. The preprinted coupons are basically a form with boxes for the amount of each tax paid the FEI number and the tax period against which the payment is being made. The coupon is mailed or delivered along with a single payment covering the taxes to a federal reserve bank serving the employer s area or more likely to an authorized financial institution. The frequency of payment depends on the amount due at the end of the month you should determine the required deposit periods in consultation with an accountant. Filing Returns and Reporting Taxes. FUTA taxes are reported quarterly using Form 940. The deposit is due by the last day of the first month after the quarter. If the amount due for any quarter is less than 100 it may be carried over and paid in the next quarter s report. For income taxes withheld and for Social Security FICA taxes the employer files a quarterly report on federal Form 941. There are some exceptions to this rule related to agricultural employers household employers state and local governments and some others. Willful failure to file returns and pay taxes when due will result in criminal and civil penalties. The same is true for willful filing of false or fraudulent returns. In some cases in which income and Social Security taxes are not withheld and not paid to the IRS individuals 257 SECTION III Evaluating the Operations of the Business of the corporation