Glossary

Confused about a specific term or acronym? Solve the mysteries of terminology with this informative resource. Updated regularly with industry-specific vocabulary and concepts, the Glossary provides easy-to-understand definitions of tax-related terms.

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All Categories's Payroll Tax Unemployment Insurance Wage Garnishment

Results: 1096 Form 1096 is filed by individuals who withdraw all available retirement funds from their retirement plan. 1099 An annual statement showing non-wage compensation that must be reported to the federal government on an individual's personal return. Form 1099 can be issued to employees or non-employees of a company. 1099-R An annual statement of disbursements and applicable taxes from any retirement plan (such as IRA accounts). 3PSP See Third Party Sick Pay 401(k), 403-B, 408(k), 501-C A cash or deferred arrangement that allows employees to authorize their employer to place pretax dollars in a retirement plan that invests the money. The contributions (including those matched by the employer) and any earnings on them are not subject to federal income tax (and most state income taxes) until they are withdrawn. 403(b) Annuity An annuity or mutual fund that provides retirement income for employees of public schools and certain tax exempt organizations. 940 - Employer's Annual Federal Unemployment (FUTA Filed annually, the Form 940 reconciles the employer's payment of FUTA taxes during the year, showing the calculation of the full unemployment tax liability and the credit for unemployment taxes paid to the individual states. 941 - Employer's Quarterly Federal Tax Return A federal return that displays taxable wages and taxes, and shows all FIT, Social Security, and Medicare liabilities incurred during a specific quarter. 941 - Schedule B Schedule B is an attachment to Form 941, showing a breakdown of daily tax liabilities. Schedule B must be filed quarterly when the employer has a tax liability of $100,000 or more on any day, or when the employer is required to deposit payroll taxes on a semi-weekly schedule. 941PR - Employer's Quarterly Tax Return The Form 941PR displays taxable wages and taxes, and shows all FIT, Social Security, and Medicare liabilities incurred during the quarter. It is filed quarterly by employers whose principal place of business is Puerto Rico. 943 - Employer's Annual Return for Agricultural The Form 943 displays taxable wages and taxes, and shows the liabilities incurred on a monthly basis. 943A Form 943A is an attachment to Form 943, showing a breakdown of daily tax liabilities. Form 943 must be filed when an employer has $3,000 or more in liability in any one month. 945 - Annual Return of Withheld Federal Income Tax Form 945 is filed annually to report non-payroll items such as pensions, annuities, IRAs, gambling winnings, and backup withholdings. Prior to January 1, 1994, non-payroll information was reported as "wages, tips, and other compensation" or "Backup Withholdings" on Form 941.