Let’s Get Back to Basics: Withholding, Depositing and Reporting Federal Taxes

Federal income taxes are such a common occurrence in present times it is easy to forget their relatively recent origin. It is also easy to forget that the withholding of these taxes fall under IRS regulations that are strict and non-yielding in many cases. Simply put, the employer either collects the amount due from the employee or pays their own portion and sends it directly to the IRS. But though it sounds simple and basic it is critical for the employer to withholding the taxes correctly based on several factors including: 

The type of payroll frequency used by the employer 

The information supplied on the employee’s Form W-4 

The taxable wage base and rate in effect for OASDI or social security taxes 

The rate in effect for Medicare tax 

If the employee is subject to the Additional Medicare Tax 

Status of the employees such as nonresident alien or expatriate 

The wage base and rate in effect for federal unemployment insurance or FUTA 

The penalties are severe for failing to comply with employment tax rules and procedures since the IRS imposes both civil and criminal penalties on employers. In addition to these penalties, employers also have to pay interest on any underpayment of tax that is a result of noncompliance with these same regulations. Then once the taxes are withheld and paid they must be reported and reconciled. Which forms are used for the initial reporting and when are they due? Which forms are used to correct already submitted forms? These are critical questions that the payroll professional must have answers to right on the tip of their tongues. 

In this webinar Expert Vicki Lambert will cover the basics of withholding, depositing and reporting federal taxes, It supports both quarter-end and year-end as well as all other IRS compliance issues facing the payroll department. 

Session Highlights: 

Introduction to the federal tax system 

Obtaining an EIN 

Federal Income Tax 

Methods of withholding 

How to handle supplemental wages 

FICA Taxes 

What is OASDI 

What is Medicare 

What is the Additional Medicare Tax 

What are the current wage bases and rates 

How do totalization agreements affect FICA taxes 

Are there special rules for nonresident aliens on visa 

FUTA Tax 

Who is subject 

Current rate and wage base 

Effect of credit reduction 

Computing and paying the tax 

Basic rules for Successor employers 

Basic rules for Common Paymaster 

Deposit rules 

Reporting requirements 

Penalties for noncompliance 

Why You Should Attend: 

This webinar covers the basics of withholding, depositing, paying and reporting payroll taxes. It provides a good solid foundation for the payroll beginner or an excellent refresher course for the seasoned professional. It will cover step-by-step the calculations for determining the proper income tax withholding including when to use the supplemental rate. Will also cover FICA taxes and how they are affected by totalization agreements (lUS citizens working abroad) and nonresident aliens (non-US citizens working in the United States). 

Who Should Attend: 

Payroll Professionals 

Human Resources 

Accounting Personnel 

Business Owners 

Lawmakers 

Attorneys, or any individual or entity that must deal with the complexities and technicalities of ensuring compliance within the payroll process 

Ask your question directly from our expert during the Q&A session following the live event.

Visit Our Website At https://www.edupliance.com/

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