Which of the following is required to be withheld from employee's gross pay?
A) both federal and state unemployment compensation
B) only federal unemployment compensation tax
C) only federal income tax
D) only state unemployment compensation tax

Question

Quizplus · Accepted Answer

Federal income tax is required by law to be withheld from employee's gross pay. While federal and state unemployment compensation taxes are also deducted from employee paychecks, they are not technically required to be withheld from gross pay. State unemployment compensation tax varies by state, so it may or may not be required.

Which of the Following Is Required to Be Withheld from Employee's