Asked by Sophia Colosimo on Jul 15, 2024

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Each year, there is a ceiling for the amount that is subject to all of the following except

A) social security tax
B) federal income tax
C) federal unemployment tax
D) state unemployment tax

Social Security Tax

A tax that finances the Social Security program, collected from both employers and employees, to fund retirement, disability, and survivorship benefits.

Federal Income Tax

The tax levied by the U.S. federal government on the annual earnings of individuals, corporations, trusts, and other legal entities.

State Unemployment Tax

A tax that employers are required to pay to their state government to fund unemployment benefits for workers who have lost their jobs.

  • Gain an understanding of the obligations employers have regarding the withholding and remittance of payroll taxes.
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AT
Alexsis ThomasJul 19, 2024
Final Answer :
B
Explanation :
The amount subject to federal income tax does not have a ceiling. It is based on an individual's taxable income and tax bracket. The other options have a maximum amount that is subject to the tax.