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Parson - Chp 13 Payroll Liabilities and Tax Records

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Salaries Expense   The expense account used to record employee's earnings.  
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Federal Unemployment Tax Act   Requires employers to pay federal unemployment taxes based on a percentage of the employees' gross earnings.  
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State Unemployment Tax Act   Requires employers to pay state unemployment taxes based on a percentage of the employees' gross earnings.  
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Unemployment taxes   taxes collected to provide funds for workers who are temporarily out of work; usually paid only by the employer.  
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Payroll Tax Expense   Account where the employer's payroll taxes are recorded.  
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Federal Tax Deposit Coupon   A form sent with payment for FICA and federal income taxes or federal unemployment taxes to indicate the total amount of taxes being paid.  
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Electronic Federal Tax Payment System   Larger businesses deposit income tax payments by electronic funds transfer.  
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Form W-2   a form that provides the employee with a summary of earnings and amounts withheld for federal, state, and local taxes; also called a wage and tax statement.  
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Form 940   the employer's unemployment tax return; it includes both federal and state unemployment taxes paid during the year.  
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Form 941   The employer's quarterly federal tax return; it reports the accumulated amounts of FICA and federal income tax withheld from employees' earnings for the quarter, as well as FICA tax owed by the employer.  
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Form W-3   The Transmittal of Wage and Tax Statements, filed with the federal government to summarize the information contained on the employees' Forms W-2  
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Created by: yparson
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