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what is withholding tax?
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○ money an employer deducts from an employees wages to pay to the government.
○ money that is used to pay for an employees health insurance benefits.
○ money that is used to contribute to an employees retirement 40(k) plan.
○ money that the employee receives after deductions are taken out of a paycheck.
Withholding tax refers to amounts deducted by an employer from an employee's wages to remit directly to the government for tax obligations. The other options describe health insurance payments, retirement contributions, and net pay (after deductions), which are distinct from withholding tax.
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Money an employer deducts from an employee's wages to pay to the government.