Florida Building Contractor Business/Finance Practice Exam

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Florida Building Contractor Business/Finance Exam with quizzes and structured questions. Enhance your understanding with study aids and detailed explanations. Excel in your exam preparation!

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What must employees complete and file to show wages paid and taxes withheld for the year?

Form 1040
Form W-2
Form I-9
Form 1099

The correct answer is: Form W-2

Employees must complete and file Form W-2 to report wages paid and taxes withheld for the year. The W-2 form is officially known as the Wage and Tax Statement, and it is issued by employers to their employees. This document summarizes the total earnings and the amount of federal, state, and other taxes withheld from those earnings throughout the calendar year. The IRS requires employers to send these forms to both employees and the Social Security Administration to ensure accurate processing of tax returns and to maintain proper records of employees' earnings for Social Security benefits. Form 1040 is an individual income tax return used by taxpayers to report their annual income and taxes for the IRS, but it does not specifically record wages paid and taxes withheld. Form I-9 is used for verifying the identity and employment authorization of individuals hired to work in the United States, and it does not pertain to wage reporting. Form 1099, on the other hand, is used to report income other than wages, salaries, and tips, such as payments to independent contractors, thus it is not applicable for employees in the context of reporting wages and taxes withheld.