CPP Certified Payroll Professional APA Master Exam Practice Questions and Answers Updated 2026

CPP Certified Payroll Professional
APA Master Exam Practice
Questions and Answers Updated
2026
FormBSS-8B-
BAnswerDeterminationBofBWorkerBStatusBforBPurposesBofBFederalBEmploymentBTaxesBandBInc
omeBTaxBWithholding



FormBW-9B-
BAnswerFirst,BitBisBusedBbyBthirdBpartiesBtoBcollectBidentifyingBinformationBtoBhelpBfileBinfor
mationBreturnsBwithBtheBIRS.



TheBformBisBneverBactuallyBsentBtoBtheBIRS,BbutBisBmaintainedBbyBtheBpersonBwhoBfilesBthe
BinformationBreturnBforBverificationBpurposes.B



TheBinformationBonBtheBFormBW-9BandBtheBpaymentBmadeBareBreportedBonBaBFormB1099.



TheBsecondBpurposeBisBtoBhelpBtheBpayeeBavoidBbackupBwithholding.BTheBpayerBmustBcollect
BwithholdingBtaxesBonBcertainBreportableBpaymentsBforBtheBIRS.BHowever,BifBtheBpayeeBcertif
iesBonBtheBW-
9BtheyBareBnotBsubjectBtoBbackupBwithholdingBtheyBgenerallyBreceiveBtheBfullBpaymentBdueB
themBfromBtheBpayer.BThisBisBsimilarBtoBtheBwithholdingBexemptionsBcertificationsBfoundBonB
FormBW-4BforBemployees.



FormBSS-5B-BAnswerApplyBforBanBoriginalBSocialBSecurityBcard

ApplyBforBaBreplacementBSocialBSecurityBcard

ChangeBorBcorrectBinformationBonByourBSocialBSecurityBnumberBrecord



FormBSS-4B-BAnswerApplicationBforBEmployerBIdentificationBNumberB(EIN)



AccountingBequationB(BalanceBSheet)B-BAnswerAssetsB=BLiabilitiesB+BCapital

AssetsB-BLiabilitiesB=B(Shareholders'BorBOwners'BEquity)

,AssetB(DebitBorBCreditBNormalBBalance?)B-BAnswerDebit



ExpenseB(DebitBorBCreditBNormalBBalance?)B-BAnswerDebit



LiabilityB(DebitBorBCreditBNormalBBalance?)B-BAnswerCredit



CapitalB(DebitBorBCreditBNormalBBalance?)B-BAnswerCredit



OwnersBEquityB(DebitBorBCreditBNormalBBalance?)B-BAnswerCredit



RevenueB(DebitBorBCreditBNormalBBalance?)B-BAnswerCredit



EscheatBlawsB-BAnswerReferBtoBunclaimedBpropertyBobligations.BCompaniesBwhoBissueBchecks-
forBwages,Bpayroll,BemployeeBcommissions,BreturnableBgarnishments,BdeferredBcompensation,B
payrollBservicesBorBbonuseshaveBaBpotentialB(andBprobable)BunclaimedBpropertyBobligation.



ScheduleBDB(FormB941)B-
BAnswertoBexplainBcertainBdiscrepanciesB(causedBbyBacquisitions,BstatutoryBmergers,BandBcons
olidations)BbetweenBFormsBW-
2,BWageBandBTaxBStatementB(CopyBA),BandBFormsB941,BEmployer'sBQUARTERLYBFederalBTaxBR
eturn,BforBtheBtotalsBofBsocialBsecurityBwages,BMedicareBwagesBandBtips,BsocialBsecurityBtips,
BfederalBincomeBtaxBwithheld,BandBadvanceBearnedBincomeBcreditB(EIC)Bpayments



WorkweekBforB14BandB15-year-oldsB-
BAnswerOutsideBschoolBhours,BandBonBschoolBdaysBincludingBFridays,BnoBmoreBthanB3Bhours.

NoBmoreBthanB8BhoursBonBaBnon-schoolBday.

WhenBschoolBisBinBsession,BnoBmoreBthanB18BhoursBperBweek.

NoBmoreBthanB40BhoursBduringBaBweekBwhenBschoolBisBout.

BetweenBtheBhoursBofB7Ba.m.BAndB7Bp.m,BextendedBtoB9Bp.m.BBetweenBJuneB1BandBLaborB
Day.



1)BWhichBformBisBusedBforBDeterminationBofBEmployeeBWorkBStatusBforBPurposesBofBFederal
BEmploymentBTaxesBandBIncomeBTaxBWithholding?B

A.BFormBI-9B

,B.BFormBSS-4B

C.BFormBSS-5B

D.BFormBSS-8B-BAnswerD



2)BWhatBamountBmustBanBindependentBcontractorBbeBpaidBforBservicesBrenderedBbeforeBanB
employerBisBobligatedBtoBgiveBthemBaB1099-MISC?B

A.BOnceBtotalBreachesB$600BorBmoreB

B.BTotalBpaymentsBreachB$600BorBmoreBforBcompany'sBfiscalByearB

C.BTotalBpaymentsBreachB$600BorBmoreBforBcalendarByearB

D.BAnyBindividualBpaymentBmakesBduringBcalendarByearBexceedingB$600B-BAnswerC



3)BQualifiedBrealBestateBagentsBandBdirectBsellersBareBwhichBofBtheBfollowing?B

A.BStatutoryBEmployeesB

B.BStatutoryBNonemployeesB

C.BEmployeesB

D.BIndependentBContractorsB-BAnswerB



4)BUnderBtheBcommonBlawBtest,BtheBIRSBexaminersBareBtoBgroupBtheBevidenceBtheyBgatherB
intoBthreeBgeneralBtypesBorB"categories"BWhichBofBtheBfollowingBisBnotBoneBofBthem?B

A.BBehavioralBcontrolB

B.BFinancialBcontrolB

C.BLocationBofBworkB

D.BRelationshipBofBtheBpartiesB-BAnswerC



5)BWhichBofBtheBfollowingBisBnotBregulatedBbyBtheBFLSA?B

A.BChildBlaborB

B.BOvertimeBpayB

C.BMinimumBWageBRatesB

D.B8BhourBworkBdayB-BAnswerD



6)BAgent-drivers,Bcommission-driversBandBfull-
timeBlifeBinsuranceBsalespersonsBareBwhichBofBtheBfollowing?B

, A.BStatutoryBEmployeesB

B.BStatutoryBNonemployeesB

C.BEmployeesB

D.BIndependentBContractorsB-BAnswerA



7)BThereBareBthreeBpartsBofBtheBABCBtest,BwhichBisBnotBoneBofBthem?B

A.BBusiness-unusualBand/BorBawayB

B.BRiskBofBlossB

C.BCustomarilyBindependentBcontractorB

D.BAbsenceBofBcontrolB-BAnswerB



8)BUnderBtheBfederalBnewBhireBreportingBrequirementBhowBmanyBdaysBdoesBanBemployerBha
veBafterBhireBdate?B

A.B10BdaysB

B.B20BdaysB

C.B30BdaysB

D.B40BdaysB-BAnswerB



9)BWhatBisBFormBI-9BusedBfor?B

A.BApplicationBforBEmployerBIdentificationBNumberB

B.BDeterminationBofBEmployeeBWorkBStatusB

C.BApplicationBforBIRSBIndividualBTaxpayerB

D.BEmploymentBEligibilityBVerificationB-BAnswerD



10)BUnderBtheBreasonableBbasisBtest,BwhichBofBtheBfollowingBdoesBnotBsupportBanBemployer'
sBtreatmentBofBaBworkerBasBanBindependentBcontractor?B

A.BPastBIRSBemploymentBtaxBauditB

B.BPublishedBIRSBrulingsB

C.BPlaceBofBworkB

D.BPrivateBletterBrulingsB-BAnswerC



11)BWhatBdoesBFLSABstandBfor?B