Are employees liable for their FICA taxes only until the taxes have been collected from their pay by their employer?

Are employees liable for their FICA taxes only until the taxes have been collected from their pay by their employer?

• A. True
• B. False
• C. Only if they request an exemption
• D. Only if they earn below a certain threshold

Answer: (A)

The statement addresses the concept of liability for Federal Insurance Contributions Act (FICA) taxes, which includes Social Security and Medicare taxes. Employees are indeed liable for their FICA taxes, but this liability is effectively fulfilled when their employer collects the tax from their wages. Once FICA taxes have been deducted from an employee’s pay and remitted to the IRS by the employer, the employee's responsibility for those specific tax amounts is satisfied. This means that employees do not have to take further action regarding their FICA taxes for that pay period once the deduction is made. The collection mechanism established by employers ensures that tax obligations are met directly from the employee's earnings. Thus, the assertion that employees are only liable until the taxes have been collected from their pay is accurate, making the answer true. The other options imply scenarios where liability might extend beyond collection, introduce exemptions, or link obligations to income thresholds, which do not apply in the context of standard FICA tax obligations for employees.

The statement addresses the concept of liability for Federal Insurance Contributions Act (FICA) taxes, which includes Social Security and Medicare taxes. Employees are indeed liable for their FICA taxes, but this liability is effectively fulfilled when their employer collects the tax from their wages. Once FICA taxes have been deducted from an employee’s pay and remitted to the IRS by the employer, the employee's responsibility for those specific tax amounts is satisfied.

This means that employees do not have to take further action regarding their FICA taxes for that pay period once the deduction is made. The collection mechanism established by employers ensures that tax obligations are met directly from the employee's earnings. Thus, the assertion that employees are only liable until the taxes have been collected from their pay is accurate, making the answer true.

The other options imply scenarios where liability might extend beyond collection, introduce exemptions, or link obligations to income thresholds, which do not apply in the context of standard FICA tax obligations for employees.