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FITW |
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Even if an employer takes the position that the differential payments are not wages for FITW, FICA tax, and FUTA tax purposes, it may still want to consider asking reservists whether they would like to elect voluntary withholding from the payments. The PEO will maintain employee pay records, pay the employees and make tax deposits for FITW, FICA, Medicare, and federal and state unemployment. FITW would be required only if a disqualifying disposition takes place, including with respect to any "discount" element. |
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