Withholding

Business / Taxes / Withholding: Withholding is the amount that employers subtract from their employees’ gross pay for a variety of taxes and benefits, including Social Security and Medicare taxes, federal and state income taxes, health insurance premiums, retirement savings, education savings, or flexible spending plan contributions, union dues, or prepaid transportation. Contributions to tax-deferred savings plans are withheld from your pretax income, as are amounts you put into tax-free flexible spending and prepaid transportation accounts. Those amounts reduce the taxable salary that your employer reports to the IRS.

Withholding Tax

Business / Finance / Withholding Tax: Used in the context of securities, the illegal practice of a public offering participant keeping some shares in a private account or with a family member, employee, or dealer to profit from the higher MORE

Back-Up Withholding

Business / Taxes / Back-Up Withholding: Back-up withholding is triggered when a bank, brokerage firm, or other institution pays interest, dividends, or other income that must be reported on IRS Form 1099 to a payee who does not provide a ta MORE

Overwithholding

Business / Finance / Overwithholding: Deducting and paying too much tax that may be refunded to the taxpayer or applied against the next period's obligation. MORE

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