. What tax is used by the federal government to provide unemployment compensation to individuals who are out of work? Answer: A. FUTA B. SUTA C. Medicare D. Social Security

Individual Income Taxes
43rd Edition
ISBN:9780357109731
Author:Hoffman
Publisher:Hoffman
Chapter13: Tax Credits And Payment Procedures
Section: Chapter Questions
Problem 7DQ
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1. What tax is used by the federal government to provide unemployment compensation to individuals who are out of work?



Answer:  
A.  
 FUTA
 
 
B.  
 SUTA
 
 
C.  
 Medicare
 
 
D.  
 Social Security
2. When completing Form 1096, the maximum number of types of Form 1099 that may be selected is _____.



Answer:  
A.  
 1
 
 
B.  
 2
 
 
C.  
 3
 
 
D.  
 4
3. What is the FUTA tax rate in a state that has a 1.5% credit reduction?



Answer:  
A.  
 1.2%
 
 
B.  
 1.5%
 
 
C.  
 2.1%
 
 
D.  
 2.7%
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