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 Tax Withholding 2023-2024

8843 2023-2024 Form

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[Music] tax withholding tax withholding is money your employer takes out of each paycheck you earn for taxes if you're an employee a portion of every paycheck you earn is sent directly to the irs those taxes are withheld from your paycheck to help cover the taxes you owe on that income here's how your tax withholding is determined first you calculate your allowances such as allowances for you and any dependents you have then you fill out a w-4 listing the total number of allowances you're claiming next you give the w-4 form to your employer and finally your employer uses your w-4 allowances to calculate the withholding from your paychecks why is tax withholding important when you do your taxes you'll compare how much tax you owed for the year with what you've already paid through withholding if too much tax was withheld you'll get a refund but if too little was withheld you'll have to pay more having the right amount of tax withheld is important because it can help you avoid a tax surp

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