taxes

w2

apply for a tax refund

w4

determines the amount of taxes you owe

FICA

Federal Income Collection Agency

1099

received when you earn money as an independent contractor

1040

to file an annual income tax return

tax return

a report containing information used to calculate taxes owed by the taxpayer

form w2 wage and tax statement

shows earnings and tax deductions withheld during the ye4ar

voluntary compliance

means that the government expects individuals and businesses to voluntarily report all income subject to income tax

unearned income

earnings from sources other than work

taxable income

the amount on which taxes are calculated

standard deduction

a dollar amount that non-itemizers may subtract from their income before income tax is applied

tax liability

tax owed, and found on the tax tables available on the IRS website