employer tax obligations

does an employer have to take out taxes, other than social security, from a payroll check??

the key word....

I will say the key word in your post is "have." I will take that word to mean the same thing as "required." Then, I will answer your question with a resounding NO!! I will also add to this by saying that Social Security Taxes are not "required" ("have" to be) withheld either.

[Edited by crager34 on 01-03-2001 at 11:14 PM]

magician said:

does an employer have to take out taxes, other than social security, from a payroll check??

Click to expand...

HomeGuru response: Yes.

I was waiting for that response...

The forms the most employers say ther are "required" to have are the W-4 and the I-9. The W-4 for withholding of Income Taxes and the I-9 for Verification of Employment Eligibility. I will give you just a snippet of the actual LAW, and then where to go to read the entire LAW.

I-9 - Code of Federal Regulations Title 8 Chapter I Section 274a.2 = "This section states the requirements...." "...limited to a person or entity who is either an agricultural association, agricultural employer, or farm labor contractor..." DOES THIS DESCRIBE THE EMPLOYER?

W-4 = Code of Federal Regulations Title 26 part 31 Section 31.3402(p)-1 = "An employee and his employer may enter into an agreement..." THIS MEANS YOU "MAY" OR "MAY NOT" USE THE W-4. (I do conceed that not using a W-4 is very hard to bypass)

Now to your question. Code of Federal Regulations Title 26 Section 3402(a) "Except as other wise provided in this section..." (ii) Employees incurring no income tax liability. Notwithstanding any other provision of this section, an employer shall not be required to deduct and withhold any tax..."

HomeGuru states that an employer has to withhold. According to THE LAW, they don't. The only other part to your question would be if you had "taxable income" or NOT. Depending upon what magician does for a living, I will bet that magician does NOT have "taxable income" (nor do you HomeGuru). Thereby, negating the "requirement" of the employer to withhold or the "worker" the liability to pay "income taxes." About the only thing the employer is "required" to do, is simply ASK for a Social Security Number, in respect to the W-4. The worker is "NOT REQUIRED BY LAW" to submit the Social Security Number.

Do a search for Code of Federal Regulations, or CFR, or US Code, then look up the sections that I have talked about. I ask HomeGuru to back up his "yes" with just such a thing....THE LAW, not just words.

I would hope that this forum is not just about Free Advice, but accurate Free Advice.