FPC Payroll Fundamentals 1 Final Study Guide Complete Set

FPC Payroll Fundamentals 1 Final Study Guide Complete Set Worker that has Fed, OASDI, Medicare, State withheld - CORRECT ANSWEREmployee Worker that requires the employer to pay ER taxes - CORRECT ANSWER-Employee Worker that receives W2 form - CORRECT ANSWER-Employee Worker that does not have taxes withheld - CORRECT ANSWER-Independent Contractor Worker that has TIN - CORRECT ANSWER-Independent Contractor Worker that receives 1099 Form - CORRECT ANSWER-Independent Contractor Asks how independent is the employee and how much control can be exervised over the worker. - CORRECT ANSWER-Common Law Test A worker cannot sign a new contract stating that they will be an indepndent contractor. - CORRECT ANSWER-Common Law Test Employer has treated similar workers as independent contractors for any period and has filed tax returns - CORRECT ANSWER-Reasonable Basis Test Longstanding industry standard of treating similar workers as independent contractors - CORRECT ANSWER-Reasonable Basis Test Court decisions for treating workers in similar circumstances as independent contractors - CORRECT ANSWER-Reasonable Basis Test IRS has ruled in a "published ruling" that the workers are indpendent contractors - CORRECT ANSWER-Reasonable Basis Test Temporary Service Provider or Leasing Company - CORRECT ANSWER-Pays employees and taxes instead of company the employee is performing services for Immigration reform and Control Act of 1986 (IRCA) - CORRECT ANSWER-Requires employer to verify employees' eligibility for employment in the US. Penalties for Violating IRCA - CORRECT ANSWER-$375 for the first offence and $16,000 for the third